Amir reiterated that the government’s involvement in Vantris Energy’s recovery is not a bailout, but a strategic move to protect the domestic oil and gas ecosystem.
KUALA LUMPUR (Feb 26): Finance Minister II Datuk Seri Amir Hamzah Azizan said RM480 million of the additional RM990.9 million development expenditure (DE) sought by the government for 2025 will go towards the RM1.1 billion injection into Vantris Energy Bhd (KL:VANTNRG).
The motion for the extra DE, which was among others for the maintenance of Angkatan Tentera Malaysia assets, public universities, East Klang Valley Expressway (EKVE) and state roads, was tabled in the Dewan Rakyat on Thursday and passed without debate. The Ministry of Finance has allocated RM81 billion for DE and RM338.2 billion for operating expenditure in the main budget that was tabled in October last year.
Amir told the Dewan rakyat the amount was allocated to Malaysia Development Holding Sdn Bhd (MDH) to partly fund its RM1.1 billion subscription of redeemable convertible loan stocks (RCLS) in Vantris. The rest of the funding will come from MDH internally.
He reiterated that the government’s involvement in Vantris Energy’s recovery is not a bailout, but a strategic move to protect the domestic oil and gas ecosystem. MDH’s injection is strictly for vendor payments, with over 1,400 vendors already paid. The capital injection was announced in March 2025.
Amir added that Vantris Energy has implemented governance and accountability reforms, including a revamped board of directors to strengthen oversight, diversify expertise, and reinforce board-level checks and balances.
The company has also created the position of Chief Integrity and Governance Officer (CIGO), reporting directly to the board’s Audit Committee to enhance compliance, oversight, and prevent conflicts of interest in integrity and governance functions.
In 2018, Permodalan Nasional Bhd spent RM2.68 billion to buy unsold rights shares in the company, which was then known as Sapura Energy, which many saw as a crucial lifeline. The money was used to repay bank borrowings and for working capital.
Vantris Energy recently sold its entire 40% stake in L&T-Sapura Shipping Pvt Ltd for US$30.5 million (RM118.59 million) as part of its efforts to streamline its portfolio and focus on core assets after its financial restructuring.
The proceeds will be used to support the group’s engineering and construction, as well as operations and maintenance businesses over the next 24 months.
Vantris Energy reported a third-quarter net profit of RM4.27 billion, compared with a net loss of RM293.06 million a year earlier, mainly due to a one-off RM4.47 billion gain from debt forgiveness under its financial restructuring.
The restructuring, completed on Sept 26, reduced total borrowings to RM5.7 billion from RM10.76 billion.
However, the group recorded an operating loss of RM97.07 million for the quarter ended Oct 31, 2025, as expenses rose nearly 15% to RM1.08 billion.
For more Parliament stories, click here.