Malaysia LNG Group of Companies (MLNG), a subsidiary of state-owned energy giant Petronas, is actively eyeing the Philippines as a strategic growth market for liquefied natural gas (LNG), as it strengthens its presence across Southeast Asia.

“We do not see LNG as something that’s going to end anytime soon (despite) people calling it a transition fuel,” said MLNG managing director and CEO Laga Jenggi, during a media briefing at the company’s Bintulu complex in Sarawak, reports PhilStar. “No matter how much we want to switch our energy to be green, it’s going to take a much longer time.”

LNG plays a critical role in the Philippines’ ongoing energy transition, serving as a bridge fuel to reduce reliance on coal and accelerate the adoption of low- and zero-carbon energy sources. With natural gas demand on the rise, MLNG is positioning itself to serve this growing need.

“Hopefully, that will happen soon,” Jenggi said, referring to Petronas’ ongoing and previous discussions on entering the Philippine market. “We’ll continue to support the energy needs of the region, which is the closest. Logically, you don’t want to ship this LNG to the other side of the globe if your neighbor actually needs it.”

MLNG operates the 303-hectare Petronas LNG complex in Bintulu, Malaysia—one of the world’s largest LNG production facilities—providing access to major markets including Japan, Korea, China, and emerging demand centers like the Philippines.

“I think now there is a shift in approach that we have started to actually work with our neighbors and try to support their energy requirements,” Jenggi said.

While working to expand market reach, MLNG is also monitoring global price movements. Jenggi said LNG prices may soften in the near term due to expected increases in global supply.

“I think the LNG business will be impacted… because if the Americans decide to build more LNG plants, that capacity will stay,” he said, referring to former US president Donald Trump’s energy policy. “So with this Trump policy, I’m sure the world will produce more LNG.”

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