In 2023, Malaysia maintained its status as the world's fifth-largest exporter of liquefied natural gas (LNG), trailing behind Russia, Qatar, Australia, and the United States. The International Gas Union’s 15th annual World LNG Report 2024, released today, revealed that Malaysia exported 26.75 million tonnes (MT) of LNG in 2023, accounting for approximately seven percent of global LNG trade.
The report highlighted the Kasawari gas field in Malaysia, with a carbon dioxide (CO2) capacity of 3.7 million tonnes per annum (MTPA), as a significant LNG-linked carbon capture, utilization, and storage project. This facility captures CO2 from the upstream or liquefaction components of LNG projects, serving as an emissions reduction measure. Globally, Malaysia boasts one of the largest operational liquefaction capacities, standing at 32 MTPA among 21 LNG-exporting markets.
The Asia Pacific region emerged as the highest exporter, with a total of 134.80 MT of LNG. It also remained the largest importing region, bringing in 155.32 MT of LNG, with inter-regional trade amounting to 95.0 MT in 2023.
Li Yalan, president of the International Gas Union, emphasized the importance of LNG in the transition to a low-emissions future. She noted that nations are looking for ways to meet their climate commitments while ensuring energy remains affordable, available, and secure. LNG, she said, will play a crucial role in providing resilience to rapidly changing energy systems and mitigating the risks of uncertainty.
Abdul Aziz Othman, president of the Malaysian Gas Association (MGA), acknowledged the significant role LNG will have in Malaysia’s energy transition roadmap, which projects an increase in gas demand from 43 percent to 56 percent by 2050. He stressed the importance of preparing the industry to meet these growing expectations and expressed strong support for the government’s goal of fully liberalizing the gas market, including the power sector. Abdul Aziz believes that such liberalization will enhance energy supply security and foster a more efficient market, ultimately benefiting Malaysian consumers.
