Sabah: ConocoPhillips Sabah Gas Ltd, the operator of the Kebabangan (KBB) gas field off the coast of Sabah, has announced its final investment decision (FID) for Phase 2 of the KBB gas field development, set for May 21, 2026. The decision highlights the company's continued commitment to Malaysia and its ongoing investment in Sabah.

According to BERNAMA News Agency, the joint venture partners will invest approximately RM1.3 billion to support the drilling of additional wells. This investment aims to increase gas production, meet growing demand, and enhance Sabah's energy security. ConocoPhillips Malaysia president Connor Dunn expressed satisfaction with the improvements in reliability and safety performance, attributing success to the team and partner support.

The KBB gas field, commissioned in 2013 and located 123 km off the coast of Sabah, serves as the primary supplier of LNG and domestic gas for the state. The KBB Cluster development is a joint venture comprising ConocoPhillips Sabah Gas Ltd (30 percent, operator), Petronas Carigali Sdn Bhd (40 percent), and Shell Energy Asia Ltd (30 percent).

The investment in KBB Phase 2 is expected to expand production capacity, bolster Sabah's energy security, and enhance local talent and supplier capabilities.