KUALA LUMPUR (Dec 9): Gas Malaysia Bhd has obtained government’s approval to set the natural gas selling price at RM33.65 per million British thermal units (MMBtu) next year, which is RM1.01/MMBtu or 2.91% lower than the current rate of RM34.66/MMBtu. 

The group said the government has issued a directive via the Energy Commission to effect the average natural gas selling price for the distribution segment by the group’s wholly-owned subsidiary, Gas Malaysia Energy and Services Sdn Bhd.

“The directive is for a period of two years beginning Jan 1, 2020 to Dec 31, 2021, with an annual review of such average natural gas selling price,” it said in a filing with Bursa Malaysia.  

Gas Malaysia said this selling price revision is not applicable to sales of natural gas for natural gas vehicle and liquefied petroleum gas supplied in gas cylinder or in bulk supply. 

“The selling price revision is expected to continue contributing positively towards the financial position of the company for the financial year ending Dec 31, 2020,” it said. 

Gas Malaysia’s share price rose one sen or 0.37% to RM2.70 today, giving the group a market capitalization of RM3.47 billion.