Malaysia Warns Strait Of Hormuz Closure, Sees No Oil Price Impact

(MENAFN- Kuwait News Agency (KUNA)) KUALA LUMPUR, June 16 (KUNA) -- Malaysian Prime Minister Anwar Ibrahim warned Monday of real concerns that the escalation in the Middle East could close the Strait of Hormuz -- a key artery for oil and liquefied natural gas (LNG) exports -- though he said the dispute does not automatically affect oil pricing mechanisms.
He spoke after meeting Organization of the Petroleum Exporting Countries (OPEC) Secretary General Haitham Al-Ghais and other industry leaders on the opening day of the Energy Asia Conference 2025 in Kuala Lumpur on June 16-18.
On his side, Malaysian Foreign Minister Mohamad Hasan said that Malaysia will soon urge Iran not to shut the strait, stressing that closure would disrupt supply chains and raise global energy prices.
In his keynote, Anwar said Asia's energy transition must be rooted in justice, calling immediate abandonment of fossil fuels absurd when they still supply roughly 80 percent of global energy.
He urged a coherent financing framework to draw more renewable investment, noting Southeast Asia receives only 2 percent of global energy funding, and cited Malaysia's corporate renewable-supply scheme, third-party access model and green-finance mechanisms.
Anwar also announced major Malaysian investments by France's Total, Italy's Eni and Saudi Aramco, with several key agreements to be signed during the conference.
Meanwhile, Charlotte Wolff-Bye, Petronas vice-president and chief sustainability, said Asia is pivotal to the global energy shift and that cross-sector, cross-border cooperation is essential.
She noted Petronas is balancing local production with imports to meet rising regional demand.
The conference, themed "Powering Asia," brings together more than 180 speakers and 4,000 participants--CEOs and leaders from oil, energy, technology and finance--to craft a unified roadmap for investment and technology adoption, including a closed-door session for industry chiefs. (end)
aab

MENAFN16062025000071011013ID1109679423