Russia discusses investment in gas infrastructure, trade with Malaysia

MOSCOW. May 14 (Interfax) - Russia is discussing participation in developing Malaysia's gas market and gas trade cooperation, Russian Energy Minister Sergei Tsivilev told Interfax when asked about potential Russian liquefied natural gas (LNG) supplies to the country.

"We've made proposals regarding gas trade and participation in developing Malaysia's gas market, specifically Russian investment in receiving infrastructure, pipeline networks and gas storage facilities. These proposals are under discussion, though further work requires direct company-to-company negotiations," Tsivilev said.

Previously, Deputy Energy Minister Roman Marshavin told Interfax that Russia was discussing LNG supplies with Indonesia and Malaysia.

"There's definite interest as they're developing oil and gas hubs and require supplies," Marshavin said.

Alongside Indonesia, Malaysia possesses Asia's largest natural gas liquefaction capacity, ranking as the world's fifth-largest LNG exporter in 2023. However, their facilities operate below full capacity amid declining domestic reserves.

According to a report from the International Gas Union (IGU), Malaysia exported 26.8 million tonnes of LNG in 2023 against total liquefaction capacity of 32 million tonnes, while importing 2.6 million tonnes. The country's regasification capacity allows for 7.3 million tonnes of annual LNG imports.