KUALA LUMPUR, (May 20): Sarawak state-owned Petroleum Sarawak Bhd (Petros) is teaming up with China Jiangsu International Economic and Technical Cooperation Group Ltd to launch the Kuching Low-Carbon Hub (KLCH), a flagship project under the Sarawak Gas Roadmap.

A strategic cooperation agreement was formalised today in Kuala Lumpur between Petros and China Jiangsu, which sees the latter working closely with Petros to support the hub’s master planning.

Under the agreement, China Jiangsu is also appointed as one of the anchor partners of the KLCH, which will feature an industrial zone and is designed to attract strategic industrial investors aligned with Sarawak’s ambition to become a regional leader in a low-carbon economy.

"The KLCH is a game changer – a transformative initiative to translate Sarawak’s low-carbon policy into real economic opportunities for Sarawakians while contributing meaningfully to Malaysia and the region at large,” said Petros group CEO Datuk Janin Girie.

The KLCH was officially launched during the Sarawak Gas Roadmap Summit in November 2024.

Petros, as Sarawak’s state-owned oil and gas entity, is expanding its portfolio to include carbon capture and industrial decarbonisation initiatives to support long-term sustainable growth, in line with KLCH's development plan.

The partnership is expected to draw high-quality foreign investment and generate high-income employment opportunities within the state, Petros said.

China Jiangsu International, a state-owned enterprise based in Jiangsu Province in China, has delivered large-scale infrastructure and industrial projects across Asia, Africa and other regions.

The collaboration supports Sarawak’s strategy of engaging global expertise for high-impact economic development aligned with national and regional goals.