PETRONAS and TotalEnergies have signed a Strategic Cooperation Agreement (SCA) and two Farm Out Agreements (FOAs) to broaden their upstream collaboration in Malaysia, while making progress on their international partnership under the Bobara Production Sharing Contract (PSC) in Indonesia.

The agreements build on the longstanding partnership between the two companies, with the SCA outlining potential opportunities both internationally and domestically in strategic areas that cover exploration and production, gas and liquefied natural gas (LNG), carbon footprint reduction and cooperation.

For Malaysia, PETRONAS, through its wholly-owned subsidiary, PETRONAS Carigali Sdn Bhd, and TotalEnergies EP Malaysia will jointly explore several offshore exploration blocks across the country’s most prospective hydrocarbon basins. This strategic partnership combines PETRONAS' exploration and operational expertise with TotalEnergies' technical capabilities to optimise exploration efficiency and sustainably develop Malaysia's hydrocarbon resources.

Meanwhile, in Indonesia, PETRONAS, through its wholly-owned subsidiary, PETRONAS Energy Bobara Sdn Bhd and TotalEnergies have successfully finalised the terms of an FOA for the Bobara PSC. This collaboration aims to leverage the combined expertise of both companies to unlock a new hydrocarbon resource in Bobara, a frontier ultra-deepwater block located in the Eastern Indonesia region.

Relevant transactions are currently pending regulatory approvals.

The signing ceremony was attended by senior leadership from both organisations, including PETRONAS President and Group Chief Executive Officer, Tan Sri Tengku Muhammad Taufik, PETRONAS Executive Vice President and Chief Executive Officer of Upstream, Mohd Jukris Abdul Wahab, TotalEnergies Chairman and Chief Executive Officer, Patrick Pouyanné, and TotalEnergies President of Exploration & Production, Nicolas Terraz.

Tan Sri Tengku Taufik said, “For a long time, PETRONAS and TotalEnergies have demonstrated how complementary strengths can unlock new opportunities. Today’s signing marks another significant step forward in our shared commitment to responsible growth and long-term value creation. Together, we will pursue and develop advantaged barrels across Malaysia’s and Indonesia’s frontier exploration blocks. Our focus is on maximising high commercial potential while delivering sustainable value for all stakeholders.”

Patrick Pouyanné said, “TotalEnergies has established itself as a significant gas producer in Malaysia. We are pleased to further expand our presence in the country, which we see as a strategic platform for our future low-cost, low-carbon production and cash-flow growth, underpinned by the exposure to Asian LNG market. TotalEnergies and PETRONAS’ strategic collaboration, which extends well beyond Malaysia through our multiple joint ventures worldwide, enables us to access a large and diverse portfolio in the country, spanning from exploration to production.”

The collaboration advances PETRONAS’ growth strategy of partnering with purpose to create sustainable value for its shareholders while delivering reliable energy.

About Petronas

Petroliam Nasional Berhad (PETRONAS) is a global energy company committed to producing and delivering energy and solutions needed to advance society responsibly and sustainably.

As Malaysia’s national oil and gas company, we safeguard and manage the nation’s hydrocarbon resources. Our aim is to maximise value through our integrated business model to meet the energy needs of the nation and our customers across the globe. Our portfolio includes oil and gas, petrochemicals, petroleum products, as well as a range of cleaner energy solutions.

Ensuring sustainable practices across our operations is important to how we conduct our business. Our goal is to achieve net zero carbon emissions by 2050, and we strive to be a valuable partner to our stakeholders in transitioning to a lower carbon energy future in a just and responsible manner.

About TotalEnergies

TotalEnergies is a global integrated energy company that produces and markets energies: oil and biofuels, natural gas and green gases, renewables and electricity. Our more than 100,000 employees are committed to provide as many people as possible with energy that is more reliable, more affordable and more sustainable. Active in about 120 countries, TotalEnergies places sustainability at the heart of its strategy, its projects and its operations.