Malaysia faces a challenge in attracting more IOC interest
Malaysia sweetens upstream deals
The country is taking measures to encourage IOC interest in its latest licensing round
Malaysia’s upstream sector remains relatively busy but is dominated by NOC Petronas. The promise of strong domestic and regional demand for oil and gas has not been enough on its own to continue to attract IOCs. The country “has been relatively successful in comparison to its Southeast Asian peers in attracting international interest,” argues Readul Islam, research analyst at consultancy Rystad Energy. But the challenge will only grow as IOCs operate with trimmed E&P budgets and focus on assets that offer the greatest potential returns combined with low carbon intensity and low initial investment requirements. Lenders are also increasingly keener to back transition projects instead of tr
Also in this section
17 July 2025
US downstream sector in key state feels the pain of high costs, an environmental squeeze and the effects of broader market trends
16 July 2025
Crude quality issues are an often understated risk to energy security, highlighted by problems at a key US refinery
15 July 2025
Government consultations on the windfall tax and the exploration licence ban are positive steps, but it is unclear how long it will take for them to yield tangible outcomes
15 July 2025
A brutally honest picture about the potential role of oil and gas in 2050 should prompt policymakers to not only reflect but also change course to meet vital energy needs
