Malaysia’s Petronas Reports Higher Profits; double payments to the government

KUALA LUMPUR (Reuters) – Malaysia’s state-owned energy company Petronas on Tuesday (August 30th) reported higher second-quarter profits, boosted by higher oil and gas prices, and said it would double its dividend to the government this year.

The world’s fourth-largest LNG exporter said profits for the April-June period were 23 billion ringgit ($5.13 billion), down from 9.6 billion ringgit in the same quarter last year.

Revenue rose 63% to 93.3 billion ringgit.

Petronas will pay the Malaysian government, its sole shareholder, a total of 50 billion ringgit ($11.16 billion) in dividends this year, Tengku Group Chairman and CEO Muhammad Taufik said during a briefing. hurry.

The company was previously expected to pay 25 billion ringgit – the same as last year – but the government has applied for a higher amount, he said.

Petronas is a major source of revenue for the Malaysian government, which is struggling with higher spending this year for subsidies and cash aid payments to offset inflation.

The government said it plans to spend a record US$18 billion on fuel and cooking oil subsidies amid soaring commodity prices.

Tengku Muhammad Taufik said oil prices will begin to gradually correct next year as supply normalizes.