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Headlines:
Sabah pushes for 60pc local participation: Oil and Gas
Published on: Tuesday, March 17, 2026
Published on: Tue, Mar 17, 2026
By: Stefyanie Myla Micheal
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Sabah pushes for 60pc local participation: Oil and Gas
Masidi encouraged vendors attending the programme to make full use of the platform to gain a better understanding of industry expectations and prepare themselves for upcoming opportunities.
Kota Kinabalu: The Sabah Government is intensifying efforts to ensure greater local participation in the oil and gas sector, with a target of 60 per cent of contracts awarded to local companies, said Deputy Chief Minister II and Finance Minister Datuk Seri Masidi Manjun.

He said programmes such as the Partners in Performance: Sabah Vendor Engagement & Tender Clinic play a crucial role in helping local vendors understand industry requirements and prepare themselves to compete in the highly specialised oil and gas industry.

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He said this in his speech read by State Finance Assistant Minister II Datuk Mohd Ishak Ayub during the event at Plaza Shell, Monday.

Masidi noted that the initiative, organised with the participation of Shell, together with SMJ Energy and the State Ministry of Industrial Development and Entrepreneurship, is part of the State’s broader push to strengthen Sabah’s local content agenda.

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“This programme is not merely about tenders and business opportunities. It is also about preparing our local vendors to be more competitive, more capable and more confident in participating meaningfully in the oil and gas industry,” he said.

According to Masidi, many Sabahan companies have already demonstrated strong capability and performance in the sector, proving that the State has the talent and capacity to grow further.

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“What is important now is for more of our local companies to continue improving their standards, strengthening their capabilities and positioning themselves to seize the many opportunities available in the growing industry,” he added.

The State Government, he said, remains committed to ensuring that the growth of strategic sectors such as oil and gas translates into tangible benefits for Sabahans, local businesses and the wider State economy. 

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Masidi encouraged vendors attending the programme to make full use of the platform to gain a better understanding of industry expectations and prepare themselves for upcoming opportunities.

He also urged industry players to continue working closely with local companies to build a stronger and more inclusive oil and gas ecosystem in Sabah.

The Partners in Performance programme aims to provide direct engagement between industry leaders and local vendors, while also offering guidance on tender processes and capacity building for Sabah-based companies seeking to expand their role in the energy sector.
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