Petronas Expands Turkmenistan Presence with New Exploration and Cooperation Agreements

Malaysia's Petronas Carigali has signed multiple agreements with Turkmenistan's state entities, Turkmennebit and Hazarnebit, to deepen its upstream portfolio in the Caspian Sea. The deals, formalized on Friday, include a Production Sharing Agreement (PSA) for Offshore Block-19 and Block-20, granting Petronas a 100% participating interest in these new exploration areas. Additionally, a Cooperation Agreement (CA) covers 2D seismic studies for the Northern Offshore blocks, aimed at filling data gaps and enabling a more thorough evaluation of the region.

Alongside these commercial agreements, a framework agreement on long-term cooperation was signed between the Malaysian and Turkmen governments. This framework explores broader collaboration, including the potential development of the Galkynysh giant gas field and opportunities in downstream sectors such as oil refining, gas processing, and gas chemicals. Petronas emphasized that these agreements reflect a shared commitment to unlocking future opportunities, improving subsurface understanding, and supporting Turkmenistan's role in regional and global energy supply.

The signing coincides with Petronas's commemoration of 30 years of operations in Turkmenistan on June 19. Mohd Jukris Abdul Wahab, Petronas's COO and upstream CEO, highlighted that the partnership is built on trust, shared ambition, and long-term value creation, expressing confidence in Turkmenistan's energy sector potential through enduring, technically collaborative partnerships. Over three decades, Petronas has trained 235 local technicians, provided scholarships to 188 Turkmen students, and employed over 1,000 Turkmen nationals, who now constitute nearly 90% of Petronas Carigali's local workforce.