Petronas to Spend $35 bn on Canadian LNG Project

Malaysian energy major Petronas will invest $35 billion on the proposed liquid natural gas (LNG) project in Canada, news agency AFP reported.

Najib Razak, Malaysia’s Prime Minister on Sunday announced that Petronas will spend the money on upstream facilities including a pipeline, AFP reported.

"We believe this project will be mutually beneficial because it will open up Canadian energy to new markets, principally East Asia," the news agency quoted the Prime Minster.

The Malaysian firm completed the $ 5 billion purchase of Canada’s Progress Energy last year. The takeover was initially blocked but the decision was reversed in December 2012.

"We view the Petronas investments very positively and all the indications I have is that Petronas is looking at further investments. Obviously our policy involves the use of discretion when it comes to state-owned enterprise," Canadian Prime Minister Stephen Harper said, AFP reported. 

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