SMJE Chief Executive Officer Dionysia Kibat (third right) and SMJE Executive Director of OGSE and Corporate, Terry Biusing (right) presenting the RM50 million mock cheque to Chief Minister Datuk Seri Hajiji Noor (third left), flanked by Finance Minister Datuk Seri Masidi Manjung (second left), MOF Permanent Secretary, Datuk Sofian Alfian Nair (left) and State Secretary Datuk Seri Safar Untong.
KOTA KINABALU (Nov 26): SMJ Energy Sdn Bhd (SMJE) has declared an interim dividend of RM50 million to the Sabah Government for the financial year ending Dec 31, 2024, at the mock cheque presentation to Chief Minister Datuk Seri Hajiji Noor on Tuesday.
SMJE Chief Executive Officer Dr Dionysia Kibat said the dividend derived from surplus funds resulting from strong cash flows from its balanced portfolio of oil and gas businesses, after taking into account commitments of its ongoing and planned activities.
“This is the second year we are paying dividends to the Sabah Government after taking into consideration of our internal funding requirements,” she said, adding that SMJE’s strategic
investments to date include a 50% interest in Samarang Production Sharing Contract (PSC), which has generated RM940 million from crude oil sales and RM336 milion from gas sales.
SMJE’s investments in PLNG9 and SAMUR have generated a combined RM1 billion in revenue to date from its midstream and downstream operations. Meanwhile, SMJE’s acquisition of SIP has been value accretive, as the loan refinancing exercise has resulted in RM60 million in interest savings in 2023 alone. SIP is now a debt-free business, generating positive and stable cash flows.
“RAM Rating Agency has recently reaffirmed SMJE’s AAA credit rating in September 2024, while Sukuk investors are impressed with our business performance and are ready to invest in our future undertakings,” she said.
Kibat reaffirmed SMJE’s commitment to its role as a prudent financial investor with balanced oil and gas portfolio, prioritising acquisitions of profitable, cash-flow positive, producing assets, operated by reputable companies with strong Environment, Social and Governance (EGS) track records.
The company reported net profit of RM259 million for financial year 2023 and a group asset of RM5.1 billion as at 31 December 2023.
At the event, Finance Minister and SMJE chairman Datuk Seri Masidi Manjun noted that the company’s commendable achievements to date, following the formation of the company less than three years ago, is a clear testament that Sabah is on a clear upward trajectory and has the confidence and support of the investment community.
He further added that by upholding best practices, corporate governance and sound financial management, the state is definitely an attractive investment destination for all.
