Investment & Opportunities

As an agency under the Prime Minister’s Department, MPRC facilitates supports and assists investors by working closely with public and private sector entities to create the right environment for new and on-going investments in oil and gas activities throughout Malaysia.

The Government of Malaysia is pro-business and investor-friendly in outlook and actively seeks new ways to promoting Malaysia to domestic and foreign investors. In that regard, MPRC complements the role of other existing government agencies and regulators such as MITI, MATRADE, MIDA, InvestKL, Labuan Financial Services Authority (Labuan FSA), Labuan International Business and Financial Centre (Labuan IBFC) and Malaysia International Islamic Financial Centre (MIFC) in trade and investment promotion.

MPRC and Labuan IBFC jointly launched the Global Incentives For Trading (GIFT) programme, targeted at petroleum and petroleum-trading companies, to encourage these companies to use Malaysia as their regional base for storage and trading operations. GIFT was the first product developed by MPRC specifically to develop and strengthen the value chain of the oil and gas industry in the country.

Given the geographic spread of the country, MPRC works very closely with the Federal and various state Governments as well as the regional economic corridors, to facilitate the smooth implementation and coordination of oil and gas activities within the respective states. Kuala Lumpur, as the capital of Malaysia, is also the nerve centre for many oil and gas companies to site their regional office. Many international and national oil companies as well as oil and gas services companies have their headquarters in this city.

The most intensive oil and gas activity in Malaysia is presently carried out in Johor, where major oil storage, trading, bunkering, warehousing and manufacturing projects are located in Tanjung Bin, Tanjung Langsat and Pengerang districts. Johor state also allocated 22,000 acres of land in Pengerang District for Pengerang Integrated Petroleum Complex (PIPC) which accommodate of PETRONAS RAPID and DIALOG-Vopak Independent Deepwater Petroleum Terminal (IDPT).

Inspired to be the Amsterdam-Rotterdam-Antwerp (ARA) of Asia, Malaysia is set to have a total of 10 million meter cubes of oil and gas storage by year 2020. Aside from Pengerang IDPT, two other strategic locations had been identified in Johor to compliment Singapore existing storage facility. Tanjung Bin which is located near the end tip of Asia and Jurong will have 3 million meter cubes of storage by end of this decade.

World largest oil and gas trader, Vitol has partner up with MISC Berhad to establish Asian Tank Terminal (ATT) Tanjung Bin (ATB). ATB phase 1 was officiated by Ministry of International Trade and Industry (MITI) Minister on 10 January 2013 with storage capacity of 890,000 meter cubes. Tanjung Langsat has been identified as the second storage area and the location has been taken up by joint ventures of MISC, Dialog and PUMA (a subsidiary of Trafigura). 

The current combined capacity in Tanjung Langsat is 780,000 meter cubes and PUMA Energy has recently agreed to invest 10 acres of land in Tanjung Langsat for their new Bitumen project. Tanjung Langsat will have a total of 2 million storage capacity by year 2017. Both locations are still open up to any storage players who are interested to expand their businesses in this region.

Other states like Sabah, Sarawak, Pahang, Malacca, Terengganu and Perak also have major oil and gas activities encompassing manufacturing, fabrication, ship building, maintenance and repairs and other support services.

MPRC also works with trade associations, universities and professional agencies to forge closer ties and relationships between foreign and domestic oil and gas companies.