Kota Kinabalu: Sabah government’s wholly owned SMJ Energy Sdn Bhd recorded a 40 per cent jump in profit after tax of RM362 million (before audit) last year compared to RM259 million in 2023, said Sabah Minister of Finance Datuk Seri Masidi Manjun.
Masidi, who is also the chairman of SMJ Energy, said this reflected the company’s strong performance, even though the company was facing an uncertain global energy market.
“This improved performance was driven by several key factors, including strategic asset optimisation, disciplined cost management and strong revenue growth.
“SMJ Energy’s results also showed a significant surge, driven by contributions from several of the company’s key assets including the Samarang production sharing contract (PSC), LNG Train 9 liquefaction plant, Petronas Chemical Fertilizer Sabah Sdn Bhd (PCFSSB), as well as floating production, storage and offloading (FPSO) and floating storage operation (FSO) from Sabah International Petroleum (SIP), which is debt-free,” he said in a statement here.
He said the company’s success was the result of the dedication and hard work of a team of professionals working closely with key stakeholders, including Petronas.
“SMJ Energy also has a balanced portfolio, encompassing the upstream, LNG, petrochemical and FPSO/FSO sectors. This diverse portfolio provides the company with financial stability, ensuring that it remains strong even in the face of low oil price conditions.
“However, I would like to warn companies to always be vigilant against external changes that could affect performance,” he added.
He said global market uncertainties, including the ongoing tariff war and oil price fluctuations, were challenges that needed to be faced with caution.
“The volatility in the global oil market highlights the importance of maintaining proactive risk management and a prudent investment strategy,” he said.
Meanwhile, Masidi said SMJ Energy was also paying attention to the development of the oil and gas services and equipment (OGSE) sector in Sabah.
“The company is committed to increasing local content in the sector, without neglecting aspects of cost, safety, quality, and work schedules.
“Last year, SMJ Energy allocated RM2 billion worth of jobs to Sabah companies, compared to only RM613 million in 2021,” he added.
