Minister: Petronas to pay government RM34 bil dividend

STATE energy firm Petronas will pay the Government a dividend of RM34 bil in 2020, despite posting losses in the second quarter, Minister in Prime Minister’s Department (Economy) Datuk Seri Mustapa Mohamed said on Monday.

The company, which paid RM54 bil in dividends in 2019, originally committed to pay RM24 bil this year, and said that any additional funding would depend on its affordability.

The state-owned firm posted a loss of RM21 bil in the April-June period, its first quarterly loss in nearly five years, amid weak demand and lower oil prices due to the coronavirus pandemic.

Mustapa’s comments were contained in a written parliamentary reply, as the Government prepares to announce its Budget for 2021 on Friday.

The Government is expected to see a reduction of RM6 bil in revenue this year due to lower oil prices, he added.

Petronas did not immediately respond to a request for comment. – Nov 3, 2020, Reuters

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