Malaysia's state-owned energy group Petronas is working on liquefied natural gas projects in the Asia-Pacific region to reduce reliance on unstable supplies from the Middle East, Nikkei Asia reported Friday, citing the company's vice president of LNG marketing and trading, Ezran Mahadzir.

The company aims to expand its annual LNG production capacity by 38% to around 55 million metric tons by around 2035, said Mahadzir, as it builds on its portfolio in the Pacific region, which is less geopolitically sensitive.

Petronas is now focused on an LNG hub being developed off the island of Borneo and an expansion project on Canada's west coast. It is also jointly developing a project in eastern Indonesia, with Japanese energy group Inpex (TYO:1605).

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