Rosdi Ab Rahman, chief executive of Petronas LNG, told the Gastech conference in Bangkok on 16 September that Southeast Asia could become a net LNG importer from 2032. The shift creates opportunities across regional infrastructure, shipping and gas supply as domestic production declines.
Petronas expects regional LNG demand to rise from about 49 million tonnes per annum in 2028 to 80 million tonnes by 2035. The company estimates annual growth of roughly 10%. That trajectory makes Southeast Asia one of the fastest-expanding LNG markets globally.
A Nearby Supply Base
Japan and South Korea remain major Petronas markets. However, Rosdi described those markets as largely saturated. Southeast Asia offers stronger volume growth by contrast.
Thailand faces declining domestic gas reserves. Across the region, electricity demand is also rising. Artificial intelligence, data centres and transport electrification are adding to that pressure.
Singapore, Thailand, Vietnam and Cambodia are among the markets Petronas identifies as potential growth areas. The company aims to serve them through assets in East Malaysia and Canada. Proximity gives Petronas a clear logistics edge.
Petronas operates its main LNG facility at Bintulu in Sarawak. The 303-hectare site has capacity of 29.3 million tonnes per annum. Bintulu gives Petronas a short shipping route into regional markets, with cargoes reaching parts of Southeast Asia within three days.
The company also operates two floating LNG facilities off Sabah. Their combined capacity totals 2.7 million tonnes per annum. A third facility, with capacity above 2.1 million tonnes, should be ready during the second half of 2027. Since 2017, Petronas has delivered more than 200 LNG cargoes within the region.
What Does the Shift Mean for Investors?
Petronas entered Canada in 2012 through its purchase of Progress Energy. In 2018, it acquired a 25 per cent stake in LNG Canada, a Shell-led project. LNG Canada is the country’s first large-scale LNG project and provides North America’s first major Pacific-facing LNG export facility.
That route shortens voyages to Asian buyers. Petronas views Canada as a new production heartland. Its Canadian supply complements Malaysian output and adds geographic diversification.
The company’s wider portfolio includes joint ventures in Egypt and Australia. It also sources LNG from the United States, the United Arab Emirates and Qatar. That spread gives Petronas greater flexibility when prices or shipping routes shift.
According to The Business Times, spot LNG prices rose sharply during the current United States-Iran conflict. Some buyers have therefore questioned longer-term purchasing commitments. Petronas is responding with more flexible pricing and contract terms, with Rosdi stating the company will match arrangements with customers’ risk appetite and commercial capacity.
Infrastructure Gap Signals Opportunity
The supply strategy also depends on upstream output. Petronas plans to accelerate production and renew existing facilities. The aim is to maintain reliable and efficient operations.
For investors, the opportunity extends beyond LNG volumes. Southeast Asia will need import terminals, storage, pipelines, shipping capacity and power infrastructure. This positions the energy transition as a capital deployment story, not merely a supply story.
However, project timing remains important. Regional demand may grow faster than infrastructure. Developers with secure offtake, strong logistics and nearby supply could gain an advantage.
Petronas’ Malaysian and Canadian assets provide that combination. As the Indonesia energy strategy also signals, Southeast Asian governments are actively recalibrating their energy mix — a trend that reinforces Petronas’ forward positioning. Investors should next track the Sabah facility completion, regional import terminal announcements and new long-term LNG contract signings as the clearest indicators of how quickly this structural shift materialises.
Quick answers
Petronas LNG chief executive Rosdi Ab Rahman said Southeast Asia could become a net LNG importer from 2032, driven by declining domestic gas production and rising electricity demand across the region.
Petronas operates the Bintulu facility in Sarawak with a capacity of 29.3 million tonnes per annum, plus two floating LNG facilities off Sabah totalling 2.7 million tonnes, with a third facility exceeding 2.1 million tonnes due in the second half of 2027.
LNG Canada is Canada’s first large-scale LNG export project, in which Petronas holds a 25 per cent stake acquired in 2018. It provides North America’s first major Pacific-facing LNG export route, shortening voyage times to Asian buyers.
