Malaysia’s Petroliam Nasional (Petronas) is in talks with banks regarding a potential over $1 billion loan to fund a liquefied natural gas (LNG) project, according to sources familiar with the matter.
The state-owned company is seeking project financing with a loan tenor of approximately 15 years, the sources, who requested anonymity, revealed. The funds will be used for the construction of an LNG facility in Malaysia. Discussions with potential financiers are ongoing, and the details of the deal could evolve, the sources added.
Petronas operates one of the world’s largest LNG terminals in Bintulu, Malaysia, and sources a significant portion of its gas supply from the hydrocarbon-rich Borneo state. Last year, Abu Dhabi National Oil agreed to sell natural gas to Petronas for 15 years, starting in 2028.
Petronas has not yet commented on the matter.