KUALA LUMPUR, 19 FEBRUARY 2024 – Malaysia Petroleum Resources Corporation (MPRC), the Ministry of Economy’s federal agency primarily tasked with developing the country’s oil & gas services and equipment (OGSE) industry, is intensifying efforts to develop the sector in Sabah to help unleash its potential as a larger contributor to Malaysia’s oil & gas supply chain.

“We see potential for Sabah’s OGSE companies to play a bigger role in the country’s oil, gas and energy landscape. This year, we’re placing more emphasis on building ties and working closer with the relevant OGSE stakeholders from the government, regulator, industry associations and companies to identify support MPRC can provide to elevate the industry there,” said Mohd Yazid Ja’afar, President/CEO MPRC in a statement.

He added MPRC’s plans to engage more with its OGSE stakeholders in Sabah is also in line with the State’s targets of elevating local participation in the award of oil and gas contracts as announced by Chief Minister Datuk Seri Panglima Haji Hajiji Haji Noor last year.

Mohd Yazid explained that MPRC had recently engaged with key OGSE stakeholders in Sabah to identify opportunities for growth and areas for development to enable the company to facilitate solutions to the local industry’s capacity building needs, including access to financing and talent. These solutions included priority processing, for a limited time, of applications from Sabah OGSE companies received on the iogse.gov.my platform, a one-stop portal for government support and services available for OGSE companies.

Among these support and services are MPRC’s OGSE Development Grant (DG), a matching grant of up to RM250,000 for eligible OGSE companies to advance technology, innovation and exports. MPRC welcomes more applications from Sabah OGSE companies as the grant has not been awarded to any companies from the State yet, said Mohd Yazid. He added that the OGSE DG had gained recognition from its recipients for its simplified and accelerated processing, allowing companies to quickly access funding to further progress their innovation and technology and enhance the value of their businesses and the OGSE industry as whole.

On further engagements in Sabah, he said MPRC would also join in PETRONAS’s efforts to enhance the inclusiveness of national OGSE industry development through its Sabah OGSE Partners Day (OPD) at Sabah International Convention Centre in Kota Kinabalu on 20 February 2024.

“As regulator of Malaysia’s petroleum resources and as the national oil company, PETRONAS is a vital driver of the development of the oil & gas supply chain made up of OGSE companies. PETRONAS is a vital partner in OGSE industry development initiatives. We look forward to working closer together to promote more balanced growth of the OGSE value chain across Malaysia, hence our participation in the Sabah OPD,” said Mohd Yazid.

MPRC’s representatives would be sharing on financing and other government support available for OGSE companies as well as the organisation’s three-part national OGSE sustainability programme through on-stage sessions and at MPRC’s booth at Sabah OPD.

Meanwhile, Mohd Yazid also called on Sabah OGSE stakeholders to participate in the Mid-Term Review of the National OGSE Industry Blueprint (OGSE Blueprint) 2021-2030, for which MPRC is custodian and implementation lead. “As we arrive at the halfway point of the implementation of the OGSE Blueprint, we will conduct a mid-term review of the programme this year and eagerly anticipate input from all relevant parties, including Sabah OGSE stakeholders, to refine and enhance the OGSE Blueprint in line with emerging trends,” he concluded.