PETRONAS Returns to US$ Bond Market with a Successful US$5.0 Billion Issuance

Kuala Lumpur, 27 March 2025 – PETRONAS has successfully priced a US$5.0 billion senior multi-tranche offering, comprising US$1.6 billion 5.75-year, US$1.8 billion 10-year and US$1.6 billion 30-year senior notes. The 5.75-year senior notes were priced at 90 basis points (bps) over the 5-year US Treasury yield for a coupon of 4.950 per cent, the 10-year senior notes were priced at 100 bps over the 10-year US Treasury yield for a coupon of 5.340 per cent, and the 30-year senior notes were priced at 115 bps over the 30-year US Treasury yield for a coupon of 5.848 per cent. Use of proceeds will be for general corporate purposes.

This issuance represents PETRONAS’ return to the international US$ bond market since its US$3.0 billion bond offering in April 2021.

Key highlights of the transaction include:

• The transaction was well-received by investors with demand growing swiftly throughout the day and culminating in a peak orderbook of >$17bn which represents c3.4x oversubscription;
• Overwhelming investor interest enabled PETRONAS to tighten pricing by 30-35bps from initial pricing guidance to final pricing guidance and upsizing from US$3bn to final size of US$5bn;
• Largest oil and gas issuance out of Asia since PETRONAS’ US$6bn transaction in 2020. Additionally, this is the largest international bond market transaction out of Asia since 2021;
• Tight credit spreads of 10 bps achieved between the 5.75-year and 10-year and 15 bps between the 10-year and 30-year;
• The bonds were supported by high quality investors as evidenced by the investor statistics – with the 5.75-year supported by Asset Managers/Fund Managers (60%); Banks (28%) ; Insurance/Pension funds (7%) ; Central Bank/Sovereign Wealth funds (2%) and others (3%); 10-year supported by Asset Managers/Fund Managers (62%); Banks (13%) ; Insurance/Pension funds (20%) ; Central Bank/Sovereign Wealth funds (2%) and others (3%); 30-year supported by Asset Managers/Fund Managers (71%); Official Institution/Insurance (26%) ; Banks/ Private Banks/ Securities houses (3%); and
• The bonds were distributed to top tier international investors across the globe – with the 5.75-year distributed to investors in Asia (45%), USA (31%), and  Europe and the Middle East (24%); the 10-year distributed to investors in Asia (29%), USA (54%), and  Europe and the Middle East (17%) and the 30-year distributed to investors in Asia (18%), USA (54%), and Europe and the Middle East (28%).

JP Morgan and Morgan Stanley acted as Joint Global Coordinators along with HSBC, Maybank and MUFG who acted as Joint Bookrunners for the drawdown offering. JP Morgan, Morgan Stanley, HSBC, Maybank and MUFG acted as Joint Arrangers and Dealers for the GMTN Update.

Disclaimer:

This press release is not an offer of securities for sale in the United States. The securities referred to herein have not been and will not be registered under the Securities Act, or the securities laws of any state of the United States or any other jurisdiction and may not be offered or sold in the United States absent registration under, or an applicable exemption from, or in a transaction not subject to, the registration requirements under the Securities Act and applicable state or local securities laws of the United States.

Any public offering of the securities referred to herein to be made in the United States will be made by means of a prospectus that may be obtained from the Company and that will contain detailed information about the Company and management, as well as financial statements.  There is no intention to offer of the securities in the United States.