Petronas To Sustain Production At Two Million Barrels Of Oil Equivalent Per Day Through 2028

KUALA LUMPUR, Sept 2 (Bernama) -- Petroliam Nasional Bhd (Petronas) aims to sustain Malaysia's oil and gas production at two million barrels of oil equivalent per day (mmboe/d) through 2028, said its president and group chief executive officer Tan Sri Tengku Muhammad Taufik Tengku Aziz today.

He said the target would be anchored in continued investment across exploration, deep-water development, and enhanced recovery from Petronas' producing fields. 

"Holding that line, however, has meant finding new ways to work with partners rather than just relying on old formulas. Our own experience with Searah Ltd, the regional venture with Eni, reflects that shift.

"It is built not simply around sharing leadership, but also combining capital, technical expertise, and taking risks together to pursue opportunities at a scale neither partner would have done alone," he said in his keynote address at the opening ceremony of Oil and Gas Asia (OGA) 2026 today.

Across its portfolio, Tengku Muhammad Taufik said the national oil company is applying the same approach through partnerships, technical collaborations and alternative commercial structures tailored to the circumstances of individual opportunities. He noted that the best outcomes have come from combining Petronas' existing knowledge and capabilities with those of equally capable partners amid an increasingly daunting operating environment.

Tengku Muhammad Taufik said the same principle should extend beyond operators to the entire oil and gas services and equipment (OGSE) ecosystem, which has built considerable capabilities over four decades of operating in Malaysia. "The strength that you have built needs a much wider stage. A much wider stage than the one that you have traditionally competed in," he added.

However, he cautioned that succeeding on a bigger stage would require more than technical competence, with OGSE players needing significantly higher productivity, stronger financial resilience, greater digital maturity and sound governance to be regarded as trusted partners. "More importantly, you must also have the conviction to invest ahead of this demand. Are we collectively connected enough, capable enough, competitive enough?" he asked.

Tengku Muhammad Taufik said competitiveness should not be measured merely by a company's ability to win its next tender under favourable market conditions, but by whether it can remain relevant over the next decade as technology, workforce requirements, and the industry's capital landscape evolve.  "Can we collectively sustain our momentum at the pace, scale and technical depth that the next decade will now not only ask, but demand of you?" he added.

He said meeting that standard was as much a question of timing as it was of intent, including investing in people and improving productivity even when contracts were not plentiful. Industry players, he added, should also adopt digital tools and new ways of working that leading operators elsewhere already regard as standard, while building the financial resilience needed to withstand future downturns.

Tengku Muhammad Taufik also called on Malaysian OGSE companies to venture beyond their traditional markets and view developments elsewhere as opportunities rather than merely challenges or competitive pressure. He highlighted that there is much to learn from leading energy and services companies across Asia and beyond, just as international players could learn from the capabilities Malaysian companies had developed domestically.

Opportunities in carbon capture, low-emission shipping, frontier exploration, deep-water development and digital energy systems, he reckons, are open to companies that are ready to seize them. "I have the confidence that Malaysian companies can be among those ready and can be among those who help build the partnerships required to deliver them," he said.

Tengku Muhammad Taufik said Petronas, for its part, remained committed to working with industry players to build the necessary runway, open new frontiers and provide the ecosystem with greater visibility to plan ahead. "But all of this can only serve and benefit those of you who dare to take flight," he added.

He called on industry players to match that commitment by investing with conviction, taking calculated risks and positioning themselves as partners in shaping the industry's future direction.

-- BERNAMA