BINTULU: The newly established Borneo Oil and Gas (BOG) Supply Base is set to boost Sarawak’s economy, not only through its operations as a supply base but also by facilitating the import of materials and the export of products from the state.
Premier Datuk Patinggi Tan Sri Abang Johari Tun Openg stated that the launch of Sarawak’s first oil and gas supply base marks a long-awaited milestone, enabling the state to fulfil its responsibility of supplying materials to the oil and gas industries, as well as other related sectors.
As Sarawak holds over 60 per cent of Malaysia’s oil and gas reserves, he expressed confidence that the supply base will position Sarawak as a major attraction in the oil and gas industry.
“Our gas distribution is regulated under the state law, through the Gas Distribution Ordinance, where the aggregator is appointed by the state government under Section 7.
“There will be numerous offshore activities, with ongoing exploration efforts that could lead to new gas discoveries.
“The supply base is an appropriate approach to regulate these activities, both offshore in Sarawak’s waters and onshore, including areas like Adong in Miri,” Abang Johari said.
He said this when officiating the launch of the Borneo Oil and Gas Supply Base at the Transit Shed, Multipurpose Terminal, Bintulu Port Sdn Bhd, Monday (Sept 23).
Abang Johari, who also serves as the Natural Resources and Urban Development Minister, as well as Energy and Environmental Sustainability Minister, noted the global shift in the shipping industry towards green technologies, specifically the use of methanol and ammonia as alternative fuels.
He pointed out that Sarawak’s initiative to embark on ammonia production, in response to increasing global demand for renewable gas, will make the BOG Supply Base an attractive stop for ships seeking to refuel.
“With more ships transitioning to green fuel, they will need to refuel, and we can supply them with ammonia or methanol, particularly for large shipping companies like Maersk, which has already made the switch to these fuels.
“We are planning to produce green ammonia and green methanol by employing a process that neutralises carbon, turning the fuel into green fuel.
“Once we have all the necessary facilities in place, ships travelling from the West to the Far East—places like China, Korea, and Japan—will find it convenient to stop here for refuelling.
“If our costs are cheaper, Sarawak will become an attractive hub for this emerging industry,” he added.
With the establishment of the BOG Supply Base, Abang Johari, who also serves as Minister for Finance and New Economy, stressed that the brand sends a clear message: for those needing services in Borneo, Bintulu is the destination.
This, he stressed, is part of the Sarawak government’s efforts to build Malaysia’s economy.
“I have consistently told our leaders in the federal government that if Sarawak is strong, Malaysia is strong, because we are integral to nation-building.
“We are blessed with abundant resources, and we must add value to them,” he said.
