KOTA KINABALU: Sabah is moving decisively towards majority participation in its oil and gas sector, with a firm 60 per cent contract holdership target for Sabah players this year, said Deputy Chief Minister and Finance Minister Datuk Seri Masidi Manjun at the Sabah Vendor Commemoration Ceremony 2026 here recently.
His speech was delivered by Assistant Finance Minister Datuk Mohd Ishak Ayub.
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Masidi said the ceremony reflects how far Sabah OGSE vendors have progressed and reaffirmed the State Government’s commitment, together with SMJ Energy, to build a stronger, more competitive and future-ready oil and gas ecosystem anchored in Sabah.
He said the partnership between Sabah and Petronas has become structured and results-driven since the Commercial Collaboration Agreement was signed in December 2021, marking a shift towards meaningful contract holdership, equity ownership and value creation for the State and its people.
Masidi stressed that Sabah will no longer play a minor role in decisions involving its resources and will ensure that contracts awarded to Sabah vendors are genuinely executed by Sabah vendors, warning that Ali-Baba practices will not be tolerated as the State pushes for higher standards in safety, quality and accountability.
He also recorded appreciation to Petronas for initiatives such as the expanded Vendor Development Programme and Vendor Financing Programme which unlocked over RM128 million for local players, adding that Sabah will play a central role in Malaysia’s deepwater and frontier activities while continuing to work closely with Petronas to ensure meaningful participation in high-value and complex operations.
