Finance Minister II Datuk Seri Amir Hamzah Azizan said RM480 million from the government’s additional RM990.9 million development expenditure (DE) for 2025 will be channelled towards a RM1.1 billion capital injection into Vantris Energy Bhd, rather than being used for typical infrastructure projects such as hospitals, schools and roads.
The supplementary DE allocation was tabled in the Dewan Rakyat on Thursday and approved without debate.
Amir explained that the RM480 million has been allocated to Malaysia Development Holding Sdn Bhd (MDH), which will use the funds to partially finance its RM1.1 billion subscription of redeemable convertible loan stocks (RCLS) in Vantris. The remaining balance will be funded internally by MDH.
He stressed that the government’s involvement is not a bailout but a strategic intervention aimed at safeguarding Malaysia’s domestic oil and gas ecosystem. The capital injection, announced in March 2025, is strictly designated for vendor payments, with more than 1,400 vendors already receiving payments.
Amir also highlighted that Vantris Energy has undertaken governance and accountability reforms, including restructuring its board to enhance oversight, broaden expertise and strengthen checks and balances at board level.
In addition, the company has established a Chief Integrity and Governance Officer (CIGO) role, which reports directly to the board’s Audit Committee to reinforce compliance, improve oversight and mitigate potential conflicts of interest.
Vantris — formerly known as Sapura Energy — previously received RM2.68 billion from Permodalan Nasional Bhd (PNB) in 2018, when PNB acquired unsold rights shares. The funds were used to repay bank borrowings and support working capital requirements.
As part of its post-restructuring strategy, Vantris recently disposed of its entire 40% stake in L&T-Sapura Shipping Pvt Ltd for US$30.5 million (RM118.59 million) to streamline its portfolio and focus on core assets. The proceeds will be channelled towards supporting its engineering and construction, as well as operations and maintenance segments over the next 24 months.
For the third quarter ended Oct 31, 2025, Vantris posted a net profit of RM4.27 billion, compared with a net loss of RM293.06 million a year earlier. The turnaround was largely driven by a one-off RM4.47 billion gain from debt forgiveness following the completion of its financial restructuring on Sept 26.
The restructuring reduced total borrowings to RM5.7 billion from RM10.76 billion previously.
However, the group recorded an operating loss of RM97.07 million for the quarter, as expenses rose nearly 15% year-on-year to RM1.08 billion.
