EnergyMining

How Malaysia Is Looking to Seize Its Upstream Opportunity with Petronas SVP Datuk Bacho Pilong

Rystad Energy
Rystad Energy•Apr 29, 2026

Why It Matters

Securing 2 million barrels daily and de‑risking new entrants will lock in revenue, attract global capital, and safeguard Malaysia’s energy security and economic growth.

Key Takeaways

  • •Malaysia targets 2 million barrels daily to sustain upstream sector
  • •MPM launches new licensing round, offering nine blocks and six discoveries
  • •Technical Evaluation Agreements de‑risk investors, accelerating drilling commitments
  • •MyProData platform provides global, real‑time access to Malaysia’s seismic data
  • •Frontier basins receive $500 million 3D seismic investment to attract IOCs

Summary

The podcast spotlights Malaysia’s upstream strategy, led by Petronas senior‑vice‑president Datuk Bacho Pilong of Malaysia Petroleum Management (MPM). He explains the agency’s historic mandate—energy security and nation‑building—and its current North Star: sustaining 2 million barrels of oil‑equivalent per day to keep the domestic market and export pipeline robust.

Key initiatives include a fresh licensing round covering nine exploration blocks and six discovered resources, coupled with a novel Technical Evaluation Agreement that de‑risks investors before formal PSC awards. MPM also rolled out the MyProData portal, granting global, real‑time access to seismic and well data, and is committing roughly $500 million to 3D seismic surveys across five frontier basins to attract major IOCs.

Pilong highlighted the collaborative design of a 12,000‑square‑kilometer 3D survey in the Langkasuka basin, inviting operators such as Total, BP and others to co‑define the survey polygon. This hands‑on approach, he noted, turns interest into concrete drilling activity and demonstrates Malaysia’s willingness to fund data acquisition at its own expense.

The strategy bolsters Malaysia’s energy security, diversifies its export‑focused LNG business, and reinforces a self‑sufficient upstream ecosystem—from fabrication yards to drilling rigs. By lowering entry barriers and securing long‑term production, MPM aims to cement financial stability for Petronas and sustain the broader oil‑and‑gas workforce.

Original Description

Let’s Talk Energy with Datuk Bacho Pilong, Senior Vice President at Petronas and head of Malaysia Petroleum Management, the Southeast Asian nation’s upstream regulator. Malaysia is a long-time oil producer and is currently the world’s fifth-largest LNG exporter, providing crucial supply diversification for gas importers in the region. At the same time, the country’s own energy needs are growing rapidly as its economy matures, requiring new fields and further investment to keep both its domestic market and its international customers well supplied. Pilong’s task has taken on greater urgency following the war in the Middle East, which has caused energy importers including Malaysia to re-emphasize domestic supplies and has brought renewed interest from international companies looking to manage growing supply risks through greater geographic diversity in their portfolios.
+ What are Malaysia’s goals for its upstream sector and what are its strategies to achieve them?
+ How is the nation’s latest bid round progressing and what is the outlook for international investments?
+ What will be the impact of the war in the Middle East on interest and activity in Malaysia’s upstream sector?
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Further Analysis :
- Malaysia elevates exploration pitch with data investments and tech execution (clients only): https://portal.rystadenergy.com/article-detail/693253?qid=b647a487b47ec8e60a8b786f6a86a132&oid=doc_693253
- Bridging the looming production gap (available to non-clients): https://www.rystadenergy.com/insights/bridging-the-looming-production-gap
- Eni’s Geliga find reaffirms Indonesia’s deepwater turbidite play potential (clients only): https://portal.rystadenergy.com/article-detail/715017?qid=c5c5bf460b512900a81a4e67285808ae&oid=doc_715017
- Asia's Energy Buyers: Between a Rock and a Hard Place (available to non-clients): https://www.rystadenergy.com/insights/asias-energy-buyers-between-a-rock-and-a-hard-place
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Related Episodes
- How the Middle East war is reshaping Asia’s upstream strategy, with Prateek Pandey: https://www.rystadenergy.com/podcasts/how-the-middle-east-war-is-reshaping-asias-upstream-strategy
- Middle East escalation and the scramble for LNG, with Sindre Knutsson: https://www.rystadenergy.com/podcasts/middle-east-escalation-and-scramble-of-lng
- Could Middle East conflict break energy supply chains? With Matthew Fitzsimmons. https://www.rystadenergy.com/podcasts/could-middle-east-conflict-break-energy-supply-chains
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🎙️Let’s Talk Energy is a Rystad Energy Production.
Produced by: Laura Rodriguez Skaug & Både Og.
Executive producers: Noah Brenner, Elliot Busby, Evodie Fleury-Greaker & Erik Means.
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#LetsTalkEnergy #MalaysiaEnergy #UpstreamOilAndGas

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