Country’s natural gas production rebounded strongly in the second quarter of 2026, rising 19.1% year-on-year, while higher global energy prices lifted the weighted average crude oil and condensate lifting price to US$114.50 per barrel, according to the Department of Statistics Malaysia (DOSM).
The expansion in natural gas production marked a sharp turnaround from the 2.1% contraction recorded in 1Q26, with positive growth recorded throughout the quarter and June registering a stronger increase than April and May.
Crude oil and condensate production, however, declined 5.6% year-on-year, with total output amounting to 42.7 million barrels in 2Q26.
The decline was mainly attributed to weaker crude oil production, which contracted 11.7% to 28.6 million barrels. Condensate production moved in the opposite direction, increasing 9.8% to 14.1 million barrels from 12.8 million barrels a year earlier.
Crude oil accounted for 67% of combined crude oil and condensate production during the quarter, with condensate making up the remaining 33%.
The Weighted Average Lifting Price (WALP) for Malaysian crude oil and condensate surged to US$114.50 per barrel in 2Q26 from US$84.00 in the preceding quarter.
DOSM said the increase was consistent with the upward trend in global benchmark oil prices.
West Texas Intermediate (WTI) crude averaged US$95.80 per barrel, up from US$72.00 in 1Q26, while Brent crude increased to US$103.30 per barrel from US$80.20.
That represents quarter-on-quarter increases of about 33% for WTI and 29% for Brent, while Malaysia’s WALP rose by more than 36%.
Higher energy prices were also reflected in Malaysia’s petroleum trade during the quarter.
Crude oil and condensate exports increased to RM6.0 billion from RM5.3 billion in 1Q26, while exports of refined petroleum products surged to RM38.8 billion from RM22.9 billion.
Liquefied natural gas (LNG) exports climbed to RM16.1 billion, compared with RM12.9 billion in the preceding quarter.
Combined, exports of crude oil and condensate, refined petroleum products and LNG amounted to about RM60.9 billion in 2Q26, compared with RM41.1 billion in the preceding quarter.
Imports also increased substantially.
Crude oil and condensate imports rose to RM12.5 billion from RM7.3 billion, while refined petroleum product imports jumped to RM40.8 billion from RM22.4 billion.
LNG imports increased more moderately to RM1.6 billion from RM1.3 billion in 1Q26.
The figures show that Malaysia’s oil and gas sector experienced sharply higher trade values during 2Q26 as energy prices strengthened, even as domestic crude oil production contracted. Natural gas production, meanwhile, emerged as the key production growth driver with its double-digit rebound during the quarter.
