Malaysia has the 13th largest gas reserves in the world as at January 2001.

As at 31 December 1003, Malaysia's gas reserves stood at 89.02 trillion standard cubic feet. At the current production rate, the gas reserves is estimated to last another 50 years.

The Natural Gas reserves under the Malaysia-Thailand Joint Development Area (JDA) are estimated to be around ten trillion cubic feet. The gas will tie-in with the Peninsular Gas Utilisation (PGU) system at Changlun, Kedah.

Apart from the Malaysia-Thailand JDA, a new source of gas supply to Peninsular Malaysia will be from the West Natuna Field in Indonesia. PETRONAS signed an agreement on March 28, 2001 with PERTAMINA (The Indonesian state oil and gas company), for the import of 1.5 trillion scf of gas over a period of 20 years.