Good day everyone. Thank you for joining today's session. Welcome to PETRONAS Gas Berhad's Analyst Briefing for Quarter Ended June 30th, 2024. We are organizing this session through the Microsoft Teams platform. Can someone respond to see if we are reaching you properly?
Yeah, very clear.
Okay. Thank you. My name is Suri, Head of Investor Relations, PGB, and together with me from PGB, we have Encik Abdul Aziz Othman, Managing Director and CEO, Encik Shahrul Azham Sukaiman, Chief Financial Officer, Encik Wan Khairul Nizam Wan Kassim, Head of Business Development and Commercial. The PETRONAS Gas Berhad's analyst briefing for quarter ended June 30th, 2020 is divided into four segments. Firstly, Encik Aziz will present the key highlights for PETRONAS Gas Berhad for the quarter.
Secondly, the business updates and financial performance will be shared by Encik Shahrul Azham. Finally, we will open the session for Q&A. All participants are reminded to obey the session's rule, where everyone should be on mute throughout the presentation. The presentation was also shared with you prior to the session through this Microsoft Teams channel for your reference.
You are allowed to ask questions during Q&A. Please be reminded to press the raise hand button, and we will open the microphone for the selected participant. You may also post your question in the chat box, and we will select any question to be answered. For reference, our financial results is now available at both Bursa Malaysia and PGB websites. Without further ado, I will hand over to Encik Aziz for the key highlights. Aziz.
Thank you, Suri. Assalamu alaykum and good day, everyone. Thank you for joining us. I'm pleased to share with you our Q2 2024 performance result this morning. Comprise first, prolonged volatility of Malaysian ringgit against US dollar. For the period under review, the ringgit maintained an average of MYR 4.72 against US dollar. Nevertheless, I think we all have read this in the current quarter, there have been some strengthening to the ringgit. Again, the strengthening of the ringgit generally will have a positive impact to PGB's remaining dollar commitment.
If you can recall, we have mitigated a majority of our Forex exposure through the early settlement of the US dollar lease liabilities of the floating storage unit at our LNG Regas Terminal in Sungai Udang sometime in May last year. As for now, we do not foresee major impacts on our project execution, some of which actually has a higher exposure to US dollar. Nevertheless, our team is keeping a close eye and always on the proactive lookout for this project, and we have put certain mitigation strategies in place to be deployed if needed.
Second, the potentially higher Brent crude volatility. Forex typically is impacted by geopolitics similar to crude, so we are also monitoring geopolitical risk, particularly in the Middle East. That continues to hang over the oil market and increase in Brent crude price, as a result of these geopolitical issues, as actually resulting in heightened risk premium. As you all know, Brent crude price will have an impact to PGB, particularly in the utilities business, because Brent serves as a benchmark for our gas price based on the Malaysia reference price.
Foreign exchange fluctuation and the Brent price volatility have a strong correlation, that result in higher energy costs and variation in commodities prices. Both these factors combined affect the overall economic condition, obviously will keep the cost of doing business elevated. The average Malaysia reference price in quarter two was at MYR 44.12 per MMBtu. This is based on lagging factor. Because of that, for quarter three, we'll see a potential decrease in the price, slightly below than the $44 that I mentioned just now.
Of course, we will continue to track the Brent price, which we expect to remain high. The other indicators is on the service producer index, SPPI, which indicate the cost of doing business. From the graph, it has stayed elevated in July 2024 at 115.7 points.
The cost of energy in Peninsular Malaysia continues to be significant, as reflected by the ICPT surcharge. ICPT is overseen by Suruhanjaya Tenaga, it was set for the next six months at MYR 0.16 per kWh . This was effective from July 1st, 2024. The ICPT adjustment by the government will impact our financial performance, particularly concerning the utility segment, because we sell based on the TNB tariff and including the ICPT. Any movement will impact, either positive or negative, depending whether it is adjusted upward or downward.
In light of the current external development explained earlier, we expect the business cost to remain high throughout the year, we will keep a close watch on this condition and take necessary steps to mitigate their impact. In a nutshell, with all this data that we have shown you, our spread we think is better compared to last year.
Ladies and gentlemen, despite the challenges, I'm pleased to share that similar to quarter one, PGB continued to deliver commendable results in quarter two. Subsequently, consolidated into half of the year, we have successfully maintaining a sustainable dividend to our shareholder. Our achievement, again, is a result of our continued and consistent world-class operational excellence. You look at later, Shahrul will show a lot of our operating parameters are close to 100% for all our business segments.
On financial performance, revenue stood at MYR 3.2 billion, slight decrease of 1.4% or MYR 45.4 million, this is mainly attributable to lower revenue from utility segment, in line with the lower product price amidst a higher sales volume. This was offset by higher revenue from gas processing.
As you know, the new GPA has come into place. The reservation charge income slightly higher under the new term, as well as higher revenue from gas transportation. As we have mentioned in quarter one, we have this upward tariff revision from the cost that we incurred last year, which was transferred to this year. Nevertheless, the gross profit remained comparable at almost MYR 1.2 billion, despite the lower revenue. It was cushioned by the lower operating costs, including lower fuel gas as well as internal gas consumption expenses.
Profit for the period rose by 20% or MYR 19 million, mainly driven by the reduction in the financing cost and lower exposure to foreign exchange movement. Again, that was because the early settlement of the USD lease liabilities for floating storage unit at the LNG Regasification Terminal in Sungai Udang, Melaka in the corresponding period.
However, this was partially offset by lower contribution from the joint venture companies. EBITDA higher by 3.8% or about MYR 62.3 million at MYR 1,707 million respectively, in tandem with the higher PBT. Because of that, our earning per share increased by 1.8%, reflecting higher profit attributable to shareholders of the company. Dividend per share for the quarter was approved at the board at MYR 0.16. This is the same to the corresponding period last year.
Again, I would like to reiterate that this demonstrates the group commitment to ensure sustained level of returns to the shareholders. Ladies and gentlemen, now we come to the details of our business and financial performance. I would like to call Shahrul to provide the details on this. Over to you, Shahrul.
Thank you, Encik Aziz. Good morning, everyone. I shall take you through the business and financial performance for quarter two 2024. As you're aware, a key component of our business is our operational excellence, where we maintain safety and reliability of our assets across four business segments as our priority.
We keep our operational risk as low as reasonably practical and maintain our infrastructural reliability as our priority, which provide supports to our revenue stability today For the period, the gas processing plants maintained its world-class operational performance, recording close to 100% reliability. For segmental financial performance. For gas processing, against the preceding quarter, quarter one 2024, result was comparable at MYR 209 million, due to higher revenue from IGC incentive. This was partly offset by higher operating costs due to higher level of maintenance activities.
Against the corresponding quarter, quarter two 2023, segment results declined by 4.7% or MYR 10 million, mainly due to higher level of maintenance activities carried out at the facility. Against the corresponding period, first half 2023, segment results declined by 2.5% or MYR 11 million, again due to high operating expenses, mainly depreciation and maintenance expenses following higher project completion during the period. To the next business segment, gas transportation.
For the gas transportation business performance, the group's pipeline network achieved close to 100% reliability, similar to the corresponding period. In terms of financial performance, segment result was at MYR 156 million, lower against both preceding quarter and also corresponding quarter on the back of higher operating expenses, mainly from higher level of maintenance activities performed during the quarter.
Against the corresponding period, first half of 2023, segment result rose by 10.6% or MYR 30 million due to higher revenue following upward tariff adjustment, mainly related to revision in internal gas consumption expenditure as allowed under the Incentive-Based Regulation or known as IBR framework by Suruhanjaya Tenaga. This increase is also coupled with lower operating expenses, mainly due to lower Internal Gas Consumption. To the next segment, regasification business segment.
The group LNG Regasification Terminals in Sungai Udang, Malacca, and Pengerang, Johor, sustained their strong reliability performance close to 100% during the period. In terms of financial performance against the preceding quarter, quarter one 2024, segment result was at MYR 158 million, comparable against the previous quarter.
Against the corresponding quarter, quarter two 2023, segment result was lower by 5.3% or MYR nine million due to higher operating expenses, mainly on depreciation as well as higher cost of floating storage unit operating lease. Against the corresponding period, first half of 2023, similarly, segment result was also lower by 3.7% or MYR 12 million due to the same reason as corresponding quarter. As you can see, our gas processing, gas transportation, and regasification segments remain a reliable business for us with a steady bottom line.
Our priority for these regulated businesses is the operational excellence to ensure high level of capacity available and product delivery remain reliable. These three segment combined contributes about close to 90% of our bottom line this year. To utility segment.
For utility segment, throughout the period, utilities plant achieved 100% product delivery reliability for electricity, while close to 100% for steam and industrial gases. In terms of the sales volume for electricity and steam, the product sales volume was lower due to unplanned shutdown by our customers. There's also higher volume exported to TNB recorded during the quarter due to effective SMP or system marginal price. For industrial gases, higher product sales volume was recorded due to higher consumption from customers.
For financial performance for utilities business against the preceding quarter, quarter one 2024, segment result was at MYR 75 million, which is comparable against the preceding quarter. Against the corresponding quarter, quarter two 2023, segment result declined by 26.3% or MYR 27 million, mainly due to lower revenue attributable to lower product prices in tandem with lower fuel gas price, coupled with downward revision of ICPT surcharge.
Additionally, operating expenses was also higher from depreciation and maintenance expenses. This was partly negated by favorable impact of lower fuel gas costs. Against the corresponding period, first half of 2023, segment results declined by 5.2% or MYR 8 million due to lower revenue following lower product prices in tandem with lower fuel gas price, coupled with downward revision of ICPT surcharge. This was negated by lower operating expenses, mainly from the favorable impact of lower fuel gas costs following downward movement of fuel gas price based on MRP.
Moving on to the updates on projects. While we focus on operational excellence of the group's existing assets, we also continue to pursue growth to ensure sustainable revenue and expand our asset base. We have made several significant announcement of our projects, which have reached final investment decisions in the past year.
We are now in the execution phase for these projects. We strive to ensure flawless delivery of this project in terms of safety, timely execution, within budget and also quality. These projects are progressing within schedule. The Kluang Compressor Station project, which is expected to complete by end of this year, will allow more gas volume to the southern region. The LNG Storage in Pengerang, which will add 21% to our existing LNG storage capacity, is expected to complete by mid-2025.
Another project in Pengerang, which is the Cold Energy ASU, along with Sipitang Power Plant and Jeram Compressor Station, are expected to complete by end of 2026. Right. Moving on to the group's financial performance. As mentioned earlier, the group sustained its commendable performance across all its plants and facilities.
Against the preceding quarter, quarter one 2024, the group revenue was at MYR 1.65 billion, increased by 2%, mainly contributed by higher revenue from utility segment, driven by higher steam volume and price, in line with higher fuel gas movement. Despite higher revenue, gross profit was marginally lower by 1% due to higher fuel gas cost in utility segment, following upwards movement in fuel gas price during the quarter. The average fuel gas price was higher by about 6%. However, profit for the quarter grew by 4%, mainly contributed by higher share of profit from joint venture companies.
The better performance from our joint venture companies, mainly due to favorable impact from realized forex gain, in particular from our Kimanis Power Plant in Sabah. Kimanis Power Plant actually entered into forward exchange contract to mitigate the foreign exposure for the supply of parts and repair services for their gas turbines.
Against corresponding quarter, quarter two 2023, group revenue increased slightly with higher revenue from gas processing, following higher reservation charges under the new term and higher revenue from gas transportation due to upward tariff adjustment. This was partially offset by lower revenue from utilities segment in line with lower product prices.
Gross profit, nevertheless, decreased by 8% or MYR 55 million on the back of high operating expenses, mainly from depreciation expense and maintenance costs following higher completion of project and activities performed, coupled with inflationary impact. Profit for the quarter was correspondingly lower by MYR 5 million, in line with lower gross profit, which was cushioned by lower impact of unfavorable Forex exchange movement.
Comparing again corresponding year to date versus last year, group revenue stood at MYR 3.3 billion, a slight decrease of 1%, mainly attributable to lower revenue from utility segment because of the lower product prices. This was partially negated by higher revenue from gas processing, from higher reservation charges under the new term, as mentioned by Encik Aziz earlier, as well as higher revenue from gas transportation due to upward tariff adjustment.
Despite the lower revenue, gross profit was comparable due to lower operating costs on the back of lower fuel gas and Internal Gas Consumption expenses in tandem with lower fuel gas price. Profit for the period, at MYR 963 million, was higher by 2%, mainly driven by reduction in financing costs and lower exposure to foreign exchange movement following early settlement of dollar liabilities for floating storage units at Sungai Udang, Malacca in the corresponding period.
This was partially offset by lower contribution from joint venture companies. Moving on to the balance sheet. As at June 30th, 2024, the group's total asset was at MYR 18.2 billion, lower by 5.8%, mainly due to lower cash as a result of bullet repayment of Islamic financing facility made during the period amounting to MYR 1.2 billion. Correspondingly, total liabilities also decreased by about the same quantum, MYR 1.2 billion, as a result of the said transaction.
Despite the reduction in cash and cash equivalents to MYR 2.5 billion during the quarter, the cash balance remained healthy, with some headroom to play with for our existing and upcoming growth projects. As for dividend, the board has approved the second interim dividend of MYR 0.16 per share, payable on September 19th, 2024. This demonstrates our commitment to ensure certain level of return to shareholders. That is all for me. I will now pass the line over to Encik Aziz to share on the company outlook.
Thank you, Shahrul. Ladies and gentlemen, again, our results demonstrate our continued delivery of operational excellence. God willing, we are poised to continue with the commendable performance throughout the remainder of 2024, again, our focus remains steadfast along the four lenses of our sustainability grouping. As you're all aware, there are four lenses. First, talking about the sustainable value creation lens. We remain committed to ensure safe, reliable, and efficient world-class operations.
This is important because of our business model. Safe, reliable, and efficient operation is to sustain our profit and value to shareholders. While we endeavor to ensure flawless project delivery in terms of safe and timely execution within budget and quality, we also have made strides in our growth and value creation pursuits. Amongst projects that I would like to highlight, the new 100 MW power plant in Sabah.
We are in the midst of finalizing our proposal and discussion with Energy Commission of Sabah. Inshallah, soon we'll get some alignment to move ahead on this project. For the power plant in the Patau-Patau, Labuan, as you all are aware, we received the letter of intent sometime early this year, and we are working hard towards FID. Pretty soon we're going to start a discussion with the Suruhanjaya Tenaga, and we hope that we'll have alignment with Suruhanjaya Tenaga before year-end to enable us to continue with the project.
In the lens of safeguarding the environment, we continued with our CO2 abatement initiative. Mostly at this moment is through operational control. We explore fuel switching, electrification, and of course, the CO2 that we emit, we're also looking at monetizing the CO2 molecule.
This effort actually have managed to limit our GHG emission within expectation, and along the roadmap that we put forward for our NZCE 2050 targets. The other aspect of safeguarding the environment is on our 4R program deliverables. Again, this is depending on the schedule maintaining activities and the waste generated, mainly most of it is during the turnarounds. In the first half of 2024, we achieved 60% 4R numbers against 61 target. I'm glad to say that today we have surpassed the target, and we are now at 63% recovery of the total waste generated.
The two other angles or lenses that we are focusing on is on positive social impact and responsible governance. We have contributed towards creating a positive social impact. During this period, we are focusing on the social impact management program, powering knowledge for education for children in the area that we operate. Of course, also in the area we operate, uplifting life of the community surrounding our operational area.
Last but not least, we also are moving ahead with the planting for tomorrow with regard to the environment angle of the positive social impact. In the lens of responsible governance, our controls on governance-related matters remain effective. Again, we strive to continuously enhance of our internal governance practices, policies, and procedures to ensure our relevance to stakeholders and the markets. To that end, we had successfully conducted a board audit committee and board sustainability and risk committee training.
The focus is about uplifting the board members' knowledge, mainly on ESG related reporting updates, institutional investors' expectation on ESG, and a bit on what is the development on the human rights moving forward. We will continue to stay abreast on sustainability matters and progress development, and we'll continue not only to upgrade the knowledge of the management, but also at the board level. With that, thank you. Now we shall move to question and answer. Over to you, Suri.
Thank you, Encik Aziz. Thank you, Encik Shahrul. The line is now open for you. Please, again, use the raise hand button, and we will call upon your name. Please introduce yourself as well as where you are from before your question.
Yes, Daniel.
Hello, morning everyone. Daniel here from Hong Leong. Can you guys hear me?
Yes.
Yes.
Yes.
Okay, nice. Okay, a few questions here. Maybe I'll start off with the first question. On the maintenance activities, are we expecting a similar level of maintenance activities for the second half, or are we expecting higher maintenance in the second half of the year for the group? Secondly, on the utility segment, we know that the ICPT surcharge has dropped by MYR 0.01 to MYR 0.16 now in second half of the year. We also see that MRP price has dropped by about 5% in third quarter itself.
Based on these changes in this MRP and the surcharge, are we looking at improved margin for the utility segment at least in the third quarter itself? Third question is on the regasification. For the first half of 2024, what is the breakdown between Pengerang and Sungai Udang in term gross profit? That's all from me. Thank you.
Thank you, Daniel. First, your question on maintenance activities and potentially costs in the next six months. I think, as you have seen the trend of the past years, typically the second half, the numbers, not only activities, but also the costs. The money we spend will be higher than typically in the first half. That's normal because the first half is more about us focusing internally on the contract side and whatnot, and the activities come the second half. You will expect to see more maintenance activities as well as higher costs to be spent accordingly.
The second question, in regard to margins of utilities, of course the ICPT, we expect to see some impact to our utility business. As you're aware, MYR 0.01 of ICPT, so it's not going to be significant but there will be some impact to it.
The MRP, it will have a mixed impact. The higher the MRP, it will impact negatively on the electricity. On the other products, it will provide a better margin for us because it's passed through with some margin in it. All in all, it will have some impact, but typically it's not that significant to us. That's the answer on ICPT and MRP. On the regas profit breakdown, I'd like to ask Shahrul to provide some answers to that.
Okay. Thank you, Daniel. In terms of the breakdown of the margin between the two regasification terminals, I think I said year to date June, I think the breakdown of the margin is pretty much around 60% to our regasification terminals in Pengerang and 40% for our regasification terminals in Sungai Udang, Malacca.
Sorry.
Okay, Daniel?
Sorry. Can you repeat again? The 60% is to Sungai Udang, is it?
No, it's the other way. Pengerang. Yeah.
60% to Pengerang and 40% is to Sungai Udang.
Sungai Udang. Yeah.
I see. Okay. How does this compare to first half of last year? Is it almost same or are we looking at increasing activities in Pengerang over the years?
I think firstly we need to understand that how these two terminals being compensated is not by how much is utilization, but it's by way of it being available to be used by our shipper. In this case, last year and this year it remain the same. It remain reliable and available for the shipper to utilize the facilities. In terms of the breakdown, I think it's comparable given the revenue and also cost structure for these two assets.
Just to give you a guidance, Daniel, that there will be different year-on-year depending on the price of the gas that we use to run the operation. As you're aware, this is a pass-through item, if last year we pay higher than what has been approved, we can recover it this year. Typically, as Shahrul mentioned, it's a capacity payment business. As long as we make the capacity available, you would expect to see similar number along this RP2 period. Yeah.
Okay, Daniel. I'd like to open the line to Anshul next, I think.
Good morning. Thank you for the presentation. Maybe I'll start with a few questions. Hello, can you hear me?
Yes.
Okay. Sorry, maybe I broke on in the middle. To start with, earlier last week, we had PETRONAS Chemicals highlighting that they had deferred some utility payments related to PIC. I just wanted to confirm if these payments are related to the services PETRONAS Gas provides at Pengerang, or you do not have any relation to that? My second question is related to PETROS. I believe you recently had the third Gas Processing Agreement with PETRONAS for gas processing.
Given now PETROS is the gas aggregator for the gas from Sarawak, do you have to have another agreement for gas processing with PETROS? Is that something you have to consider? My third question is related to the associate income. We saw it pick up again, and you highlighted that it was related to some forward contracts by Kimanis. Is that all or was there an improvement in operational performance and operational profitability? Is there a guidance moving forward? Thank you.
Okay. Thank you. In regard to Pengerang, our business there is about the supply of the industrial gases. We supply to the PETRONAS Refinery and Petrochemical Corporation, as well as some other service provider around the area. There's no relationship to PETRONAS Chemical. Our contracts are all with PrefChem , the refinery and petrochemicals. Not sure how that announcement. I don't think it has something to do with us. The Pengerang numbers is what we have shown in the briefing just now.
PETROS, I think the matter of PETROS is PETRONAS and PETROS. What you need to know is that PGB do not have any business in Sarawak. Probably what you have read is a matter between PETRONAS and PETROS. Associate and JVs, I think what Shahrul has provided to you, the impact to us this quarter is on that Kimanis because of the impact of forex due to the long-term hedging that we have done on the maintenance contract that we had. Other than that, I don't think there is any other significant factors during this quarter.
If I may add on that. For our JV, as you know, at the moment, the two main JV that has significant impact to our results are actually Kimanis Power and the other one is the Pengerang Gas Solution. Kimanis Power, as you know, is the PPA contract to the Sabah Electricity. As long as they make the capacity available, able to meet the requirement by the offtaker, I think the revenue pretty much stable.
Constant.
Constant. What I mentioned earlier, this quarter was better than previous quarter one, because of that forex gain, because they have entered into long-term hedging contract to actually mitigate the forex exposure on their long-term contract with GE, the OEM for their gas turbine. For Pengerang, so far the offtaker has been taking the volume at the minimum expected volume within the economic model, and we don't expect such variation from Pengerang JV.
Okay, Anshul.
Thank you.
Thank you. We'll go on to the next one. Max Koh from Macquarie.
Hi, everyone. Thanks for the call. Just two questions from me. Can I know what is the performance incentive that you are able to recognize in second quarter for your gas processing unit? How does it compare, let's say, to a year ago? Because I think you shared that number previously in a previous call. Did you also manage to export any electricity under the NEDA as well during this quarter as well? These are the two questions.
Thank you, Max. First on NEDA, yes, we have been exporting. In fact, we have been trying to maximize the export accordingly. Yes, it's a good opportunity for us, and we have been able to actually realize the opportunity accordingly. The performance incentive for GPU, I think, if you're aware, during the briefing on the new GPA, the performance incentive come, again, if we make the plant available for the shipper to use. As long as we meet the threshold, we will be paid according to the term of the GPA. What I can say for the first six months, we have been collecting in full-
Yeah.
-on those incentive, because we made the capacity available for the shippers to use for them to get the product that they want for their customer. That's clear, Max?
Yes. Okay, that's clear. Maybe just on the NEDA, because I remembered during the last quarter you did mention that you were able to export about 30 MW. Is this a similar case for this new quarter, or you have actually managed to export even more under the NEDA scheme?
Similar. About similar.
Okay. All right. Okay, that's all from me. Thanks.
Thank you.
Thanks, Max. Daniel, do you have another question, or was that from before? Okay. Anyone else from No? Okay, another one. Yes, Dharmini?
Hi. Thanks for the presentation. This is Dharmini from CGS. I just have one question with regards to the group's growth projects, in particular, the two new power plants that are being explored. Could we have a little more color on the respective capacities? I think you mentioned 100 MW. Is that 100 MW for each? The sort of CapEx that this will require and perhaps some color on the timeline for the FIDs for this and expected CODs based on the current proposal. Thanks.
Okay. You're right, the first one is about 100 MW. The second one, in Labuan, just slightly above 100 MW. CapEx, both probably just below MYR 2 billion. The 100 MW for Sabah, depending when we can lock in on the tariff with ECoS of Sabah, we are looking at around 2026.
Yeah.
For the COD. The Labuan, we are looking at 2028 as the COD date. Again, that's depending on alignment with the two regulators in as far as the PPA and the tariff. Yeah.
Great. Thank you. Maybe just one more question. Could we have an update on the group's CapEx plans for perhaps 2025, 2026? What's really maintenance CapEx in addition to CapEx related to some of your growth projects like your ASU, Sipitang, et cetera.
Okay. I think the maintenance CapEx, you can safely assume is about MYR 1 billion or thereabout year-on-year. The growth, it depends on project that we sanction. If we sanction the two power plant, the CapEx you would expect to be higher because we need to spend those money. That's the numbers that you can look at. Maintenance, roughly MYR 1 billion or thereabout a year. The growth, I can't give you a guidance, because depending on the FID that we take, it will change a lot.
Okay, noted. Thank you very much.
Thank you.
Thank you, Dharmini. Any more questions?
Okay.
Okay. Intan Diana-
Hi.
-from MIDF.
Yeah, I'm Intan from MIDF. Just want to ask, could you give us some color on the news on Petros taking over the gas fields in Sarawak? Do you think that there's going to be an impact to PETRONAS Gas? Do you see that as a big opportunity for PETRONAS Gas to run operations in Sarawak in the future?
Okay. Probably a similar question with Anshul just now. As I've mentioned, at this moment, PGB do not have any business in Sarawak. The matter of DGO in Sarawak is between PETRONAS and Petros and the state of Sarawak. Of course, whether PGB will have an opportunity, as always, we will always be looking for opportunities, whether in Sarawak, Peninsula, or in Sabah. If there is an opportunity, we will look at it, and let's see whether it will bring us other opportunities with this new development. Yeah.
Great. Thanks.
Thank you, Intan. Perhaps one last question, if there is any. No questions in the chat as well. Okay. It looks like Intan's question was the last one for today. On behalf of PGB, I thank you for your questions and active participation. We look forward to meeting all of you again in the next analyst briefing in quarter three 2024. Thank you, everyone.
Thank you.