Cyberjaya, 30 October 2023 – Dagang NeXchange Berhad, via subsidiary Ping Petroleum Sdn Bhd (“PPSB”), has signed a new Production Sharing Contract (“PSC”) with Petroliam Nasional Berhad (“PETRONAS”) marketed under the Malaysia Bid Round 2022 (“MBR 2022”). MBR is an annual Malaysia licensing round hosted by Malaysia Petroleum Management (“MPM”), PETRONAS which offers investors diverse upstream opportunities, including exploration acreages, discovered resource opportunities and late life producing assets.
The 10-year PSC grants PPSB the right to develop and produce the petroleum and gas resources from the three fields within the Abu Cluster namely Abu, Abu Kecil and Abu SW Upthrown where the Abu Cluster is located approximately 250 km from the east coast of Peninsular Malaysia. PPSB is a wholly-owned subsidiary of Ping Petroleum Limited (“Ping”).
According to Tan Sri Syed Zainal Abidin Syed Mohamed Tahir, Executive Chairman of DNeX, the company is pleased to be awarded another PSC from PETRONAS.
The newly secured contract from PETRONAS, he said, reflected Ping’s track-record as an operator that has the experience to manage a safe and environmentally sound operation abroad, as well as Ping’s commitment to building out its portfolio at home.
“We are committed to contributing to Malaysia’s domestic energy supply, pursuing opportunities through our reinforced partnership with PETRONAS and building our portfolio of strategic production assets in fiscally transparent jurisdictions,” he said.
He added, “We thank PETRONAS for giving us another opportunity to benefit from the MBR 2022 and look forward to working with PETRONAS through the development, production and abandonment of the asset. This contract will further strengthen our track record in operating low-cost producing assets and allows us to diversify our revenue stream across multiple geographies.”
Earlier in January this year, PPSB signed two PSCs with PETRONAS for discovered oil and gas resources in Malaysia.