PETRONAS, the Malaysian national oil company, has initiated a strategic partnership with China Petrochemical Corporation (Sinopec) to investigate avenues for fostering growth and innovation throughout the energy value chain.

The Memorandum of Understanding (MoU) underscores the dedication of both firms to ensuring a robust and cost-effective energy supply, promoting economic advancement and development in the Asia Pacific area, all while expediting the shift towards a low-carbon economy.

The partnership will center on promoting sustainable expansion in commodity and specialized chemicals, crude oil, liquefied natural gas (LNG) trading, lubricants, and digital solutions. Additionally, it will spearhead decarbonization initiatives across diverse sectors including transportation, shipping, manufacturing, aviation, and power. This will empower these industries to diminish their carbon emissions while sustaining competitiveness.

Since 1997, PETRONAS and Sinopec have cultivated a partnership, initially formed through a production sharing contract in South Sudan for collaborative exploration and production endeavors alongside other partners. This collaboration has since expanded to encompass the gas and downstream sectors, involving the supply of LNG and petrochemical products to facilitate Sinopec's gas terminal expansion initiative, and the procurement of various applications for other industries.

Drawing on its capabilities as a fully integrated energy provider, PETRONAS, together with its partners, has been contributing to the provision of accessible and affordable energy in the region, offering high-quality products and solutions. With its extensive portfolio encompassing oil, gas, renewable sources, and a diverse array of advanced products and adaptable solutions, the company can meet energy demands while curbing carbon emissions and maintaining cost competitiveness.

Petronas actively explores energy opportunities worldwide, maximizing value through an integrated business approach. Its diverse portfolio spans oil, gas, renewable sources, and an array of advanced products and solutions. Committed to sustainability, Petronas embeds environmental responsibility across its operations and throughout its value chain. As a dynamic global energy entity operating in over 100 countries, the company supplies energy and solutions that drive societal advancement.

Established in July 1998, China Petrochemical Corporation, formerly known as the China Petrochemical Corporation, was created as part of a strategic overhaul of the petroleum and petrochemical sector by the central government. In August 2018, it transitioned into a limited liability corporation. The Company stands as China's largest supplier of oil and petrochemical products and the second-largest producer of oil and gas. Additionally, it holds the distinction of being the world's largest refining company and the second-largest chemical company. With an extensive network of gas stations, it ranks second globally. Notably, in 2022, it secured the 5th position on Fortune's Global 500 List.