Analysts see Malaysia's oil production to remain under pressure in H2
RHB Investment Bank said in a note on Monday that this decline is moderating compared to previous quarters, indicating some stabilisation due to improved field performance and operational efficiencies, especially in mature fields.
According to the research house, natural gas production may also contract slightly in the second half, primarily due to planned maintenance shutdowns of key facilities in Sarawak and West Malaysia, as well as moderating demand from major liquefied natural gas (LNG) importers like Japan and South Korea.
Meanwhile, MIDF Research also said in a recent note that the Malaysian upstream outlook is stable but cautious, as committed investments could be offset by global oil price volatility, supply chain disruptions, and the broader energy transition agenda. Cost discipline and efficiency also remain paramount. - Bernama
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Malaysia Sun
29 minutes ago
- Malaysia Sun
Brazil's Lula to push for Mercosur-Indonesia trade deal
Xinhua 10 Jul 2025, 07:45 GMT+10 BRASILIA, July 9 (Xinhua) -- Brazilian President Luiz Inacio Lula da Silva said Wednesday he will use Brazil's rotating presidency of the Southern Common Market, or Mercosur, to resume negotiations for a free trade agreement with Indonesia. Lula made the remarks during talks with visiting Indonesian President Prabowo Subianto. "Mercosur's Brazilian presidency will, with its partners, resume negotiations to conclude an agreement with Indonesia," Lula said. Lula thanked Prabowo for supporting closer ties between Brazil and ASEAN, and confirmed he will attend the bloc's summit in Malaysia in October and pay a state visit to Indonesia. "ASEAN is a bloc of 680 million people and has experienced accelerated economic growth and rapid technological evolution," he said. Lula also reiterated opposition to the war in Gaza, though he did not explicitly name Israel. "Our countries have also tirelessly denounced the atrocities committed against the Palestinian population in Gaza," he said.
Focus Malaysia
30 minutes ago
- Focus Malaysia
ABP Group invests in Malaysia to strengthen regional cyber defence, foster talent development
ABP Group, Asia's leading cybersecurity technology outfit, has strengthened its presence in Malaysia with the launch of a new strategic office in KL Eco City which is just opposite Mid Valley City. This milestone builds on six years of established operations in Malaysia by supporting the group's long-term strategy to expand its capabilities across Southeast Asia. The newly launched Kuala Lumpur office features a modern and spacious environment designed to support a growing team of cybersecurity experts. It includes infrastructure upgrades to support regional delivery, technical collaboration and talent development. 'This expansion allows us to build greater delivery capacity, deepen client engagement and respond more quickly to emerging threats in the region,' revealed ABP Group's group CEO Sun Yi. 'As demand for cybersecurity solutions increases, our presence in Malaysia ensures we remain close to our clients and equipped to support their needs.' The Malaysian expansion complements ABP Group's regional footprint with the new office serving as a base for project execution, technical support and training initiatives. Malaysia plays a central role in ABP Group's broader regional roadmap for Southeast Asia. ABP Group's continued investment reflects a deep belief in Malaysia's emergence as a cybersecurity leader for the region. 'This expansion brings us closer to a more unified cybersecurity ecosystem across Southeast Asia starting with Singapore and Malaysia while working in sync through shared infrastructure, shared talent and a common standard of resilience,' envisages Sun. As it is, cybersecurity risks in Southeast Asia have intensified as digital adoption accelerates. According to Kaspersky Cybersecurity Report for Malaysia (1H 2024), Malaysia recorded 19.62 million web-based attacks in 1H 2024, the highest in the region. ABP Group's capability is delivered through three specialised business units to offer end-to-end cybersecurity coverage across Southeast Asia. Its first pillar, Sunnic, leads technology innovation and research and development (R&D) while ABP Cyber provides tailored cybersecurity solutions and ABP Securite drives value-added distribution through its growing partner ecosystem. These units work together to deliver regional impact with local precision. The KL Eco City office will serve as ABP Group's hub for client engagement, technical collaboration and local talent development. 'This is more than a physical expansion. It is about reinforcing the infrastructure needed to deliver cybersecurity at scale,' justified Sun. 'As Malaysia moves deeper into a digital-first future, the need for trusted cybersecurity partners will only grow. ABP Group sees this as a long game, one that demands not just technical capability but long-term thinking, shared responsibility and local leadership.' – July 10, 2025
The Star
2 hours ago
- The Star
Bank Negara expected to hold rates steady through 2025 after OPR cut
KUALA LUMPUR: Public Investment Bank Bhd (Public IB) expects Bank Negara Malaysia (BNM) to hold interest rates steady for the remainder of 2025, following the recent overnight policy rate (OPR) cut. Yesterday, BNM reduced the OPR by 25 basis points (bps) to 2.75 per cent at its fourth Monetary Policy Committee (MPC) meeting of the year, marking the first rate cut since July 2020. However, Public IB noted that the July MPC statement does not signal a series of rate cuts. In a research note, the bank said that with real policy rates still in positive territory and inflation expectations well anchored, the move appears intended to provide an early buffer rather than mark the start of a full easing cycle. "We assess BNM's policy bias as conditionally accommodative, with any further adjustment contingent on a marked deterioration in global conditions or more pronounced domestic weakness. "With two policy meetings remaining (September and November), BNM retains policy space to respond. However, prevailing uncertainty, particularly surrounding the United States' trade policy and global demand, suggests a patient, data-driven approach," it said. As such, the bank maintained its OPR forecast at 2.75 per cent through end-2025. Similarly, Maybank Investment Bank Bhd projected no further rate cuts this year, while the earnings forecast for Malaysian banks remained unchanged. "We have already anticipated, and factored in, the impact of one rate cut in the second half of 2025, for which we had recently trimmed our net interest margins (NIMs) by two to three basis points (bps) on average, across the board - our earnings forecasts are thus unchanged. "For the banks in our coverage, we expect an aggregate NIM compression of two bps to an average of 2.06 per cent in 2025 and flat NIMs in 2026," it said, maintaining its 'neutral' call on the banking sector. On the other hand, CIMB Investment Bank Bhd said the likelihood of another OPR cut beyond July would depend on incoming data, particularly relating to growth and trade dynamics. It noted that the domestic economy remains supported by a healthy labour market, with the unemployment rate declining to three per cent, signalling firm underlying conditions. "Inflationary pressures remain contained, with headline inflation projected at 2.2 per cent, while the ringgit has appreciated by 5.2 per cent year-to-date, helping to ease imported cost pressures. "These dynamics suggest there is sufficient policy space should downside risks to growth intensify further in 2H 2025," the bank added. - Bernama
