Malaysia To Continue Strengthening Energy Cooperation With Strategic Partners - Akmal Nasrullah

By Siti Radziah Hamzah

KUALA LUMPUR, June 22 (Bernama) -- Malaysia will continue to strengthen energy cooperation with strategic partners such as Russia and Turkmenistan while ensuring Malaysian companies remain compliant with international obligations and aware of sanctions-related risks, Minister of Economy Akmal Nasrullah Mohd Nasir said.

He said Malaysia's approach was guided by the need to balance national interests, economic pragmatism and adherence to international standards.

"I think, looking at the arrangements that we are going through, we definitely have to balance several points. Number one, we have to preserve our national interest.

"Secondly, we have to be pragmatic enough in terms of managing our economy, and number three, we cannot run away from observing and following the international standards," he told Bernama in an interview.

Akmal Nasrullah was responding to a question on whether Malaysia's deeper engagement with geopolitically sensitive jurisdictions could complicate financing, insurance, payment settlements or access to technology for Malaysian companies.

In May 2026, the United States announced a 30-day extension of a sanctions waiver for countries buying Russian oil and petroleum products currently already loaded on tankers at sea, as the conflict in West Asia has roiled global energy markets.

US Treasury Secretary Scott Bessent announced that the US would issue the waiver's extension “to provide the most vulnerable nations with the ability to temporarily access Russian oil currently stranded at sea”, which lasts until June 17.

Akmal Nasrullah said the government would continue to provide clarity and facilitate arrangements that enable Malaysian companies to pursue opportunities abroad while remaining compliant with international obligations.

He added that companies must be fully aware of sanctions risks and the importance of compliance when operating in such environments.

"In terms of letting our companies know the need to really go for compliance, and at the same time understand the risk of sanction, it is, I think, something necessary for them to be part of this," he noted. 

Akmal Nasrullah stressed that Malaysia observes international standards, including United Nations Security Council Resolutions (UNSCR) and Financial Action Task Force (FATF) requirements, as part of efforts to manage risks associated with international trade and investment.

Asked whether neutrality alone would be sufficient to shield Malaysian companies from potential sanctions-related risks, he said businesses must go beyond identifying commercial opportunities and place equal emphasis on compliance and risk management.

"Knowing the opportunities alone is not enough, but we also need to really look in terms of our compliance as well.

"That is where Malaysia can maintain its neutrality. But at the same time, it does not mean we are being stopped from enhancing our relationship with certain parties," he added.

Akmal Nasrullah noted that Malaysia's engagement with Russia and Turkmenistan was not new, pointing out that diplomatic relations with Russia span more than five decades, while Petroliam Nasional Bhd (Petronas) has operated in Turkmenistan since 1996.

He added that energy cooperation should be viewed through the lens of resilience and diversification rather than from a narrow supply perspective.

"We have to look from the context of resilience as to how we can build that up by having diversification," he said.

Akmal Nasrullah was part of Prime Minister Datuk Seri Anwar Ibrahim's delegation during the recent working visits to Russia and Turkmenistan, where discussions included efforts to strengthen Malaysia's long-term energy security.

Akmal Nasrullah said long-term energy security remained a key consideration as Malaysia advances its energy transition agenda and seeks reliable gas supplies to support future energy needs.

He added that Russia has given assurances and a willingness to commit to a long-term energy supply to Malaysia, which provided huge relief for the country in its planning for energy security.

"It is not just about getting the supply, but we have to secure our electricity and whatnot. And definitely, as we are committed to energy transition with a commitment not to deploy any new coal power plant, it means we need more gas," he added.

Akmal Nasrullah said certainty was vital for Malaysia to maintain a reliable baseload for its energy system and ensure continued security.

Russia has assured Malaysia of oil, gas, and diesel supplies for at least the next 20 years.

Anwar said Putin has conveyed the commitment during talks in Kazan following his recent visit to Russia, describing it as a sign of strong bilateral ties between the two countries.

-- BERNAMA