Searah Secures RM24.5 Billion Syndicated Loan to Boost Upstream Expansion

PETALING JAYA, July 23 — Searah Ltd, the upstream joint venture between Petroliam Nasional Bhd (PETRONAS) and Italy’s Eni, has secured a US$6 billion (RM24.5 billion) revolving credit facility to strengthen its financial capacity for oil and gas expansion in Malaysia and Indonesia.

The financing, one of Southeast Asia’s largest syndicated energy loan transactions this year, marks Searah’s debut in the international syndicated loan market and is expected to provide the company with greater financial flexibility to support its growth strategy.

Searah said the facility will be used to accelerate the development of producing assets, advance new upstream projects and support its medium-term production targets while positioning the company to pursue future investment opportunities.

Searah Secures RM24.5 Billion Syndicated Loan

The syndicated loan attracted strong interest from international lenders, with commitments exceeding the amount offered, reflecting continued confidence in Southeast Asia’s upstream energy sector despite global economic uncertainty and the ongoing transition towards cleaner energy.

Twenty financial institutions participated in the financing, including Banco BPM, Banco Santander, Bank of China, Barclays, BBVA, BofA Securities, BPER, Citi, DBS, HSBC, Intesa Sanpaolo, JP Morgan, Mediobanca, Mizuho, MUFG, Natixis CIB, SMBC, UniCredit, UOB and Wells Fargo.

JP Morgan also served as debt adviser, supporting Searah in structuring and executing the landmark transaction.

The company said the financing will enable it to expand existing producing assets and advance upstream developments across Malaysia and Indonesia, where rising industrialisation and economic growth continue to drive energy demand.

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