Woodside Energy Trading Singapore Pte Ltd (Woodside) and PETRONAS LNG Ltd (PLL), a subsidiary of Malaysia’s Petroliam Nasional Berhad (PETRONAS), have signed a fully termed sale and purchase agreement (SPA) for the long-term supply of liquefied natural gas (LNG) to Malaysia. The deal consists of 1 million tonnes per annum (Mtpa) of LNG starting in 2028 and will run for 15 years. It follows the non-binding Heads of Agreement (HOA) signed in June 2025, which has now been converted into a binding commitment.

Partnership Announcement and Agreement

Conversion of the non-binding Heads of Agreement (HOA) signed in June 2025 marks the launch of a binding commitment, reinforcing both companies' shared ambition to deepen cooperation across the LNG value chain. Under the agreement, LNG will be supplied from WOODSIDE's global portfolio, which may include volumes from the recently approved Louisiana LNG project in the United States.

Woodside Executive Vice President & Chief Commercial Officer Mark Abbotsford said: “Finalizing this long-term LNG supply agreement with PETRONAS represents a strategic milestone for Woodside, as it is our first long-term LNG supply arrangement with Malaysia.” Woodside and PETRONAS have a long-standing partnership, having previously worked together on exploration studies, research and development projects, and both spot and mid-term LNG deals.

Boosting Malaysia's Energy Security

Additionally, the SPA backs up PETRONAS’ push to boost energy security in Peninsular Malaysia by combining upstream gas developments with LNG imports to meet growing demand from the power and industrial sectors. This is fueled by data center growth, broader adoption of AI technologies, and the shift away from coal-fired power. PETRONAS Vice President of LNG Marketing & Trading Shamsairi Ibrahim commented:

“As a responsible energy company, PETRONAS is committed to safeguarding Malaysia’s energy security while advancing the transition to a lower carbon future. We see natural gas as a long-term solution in this journey, and our collaboration with Woodside Energy represents an important step towards ensuring reliable and flexible supply for Malaysia’s growing economy, while enhancing PETRONAS’ global portfolio to deliver energy responsibly and sustainably.”

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