MARC Ratings has affirmed its AAAIS rating on Pengerang LNG (Two) Sdn Bhd's (PLNG2) Islamic Medium-Term Notes (IMTN) Programme of up to RM3.0 billion, with a stable outlook.

PLNG2 is 65%-owned by PETRONAS Gas Berhad, which is in turn 51%-owned by Petroliam Nasional Berhad (PETRONAS). PLNG2 owns a regasification terminal in Pengerang, Johor, with a capacity of 3.5 million tonnes per annum, which has served as a key natural gas entry point for the Pengerang Integrated Complex since November 2017.

The rating reflects PLNG2's sizeable and predictable regasification revenue under the Incentive-Based Regulation framework, with demand risk mitigated by a long-term usage agreement with a PETRONAS-related entity. The rating also considers PLNG2's strong operating margins. A two-notch uplift is incorporated to reflect strong support from the PETRONAS group, underpinned by significant financial and operational linkages within the group.

For Regulatory Period 3 (RP3; 2026?2028), which commenced on 1 January 2026, the tariff was reduced to RM3.103/GJ/day from RM3.149/GJ/day in 2025. The reduction reflects a lower regulated asset base following depreciation, a lower approved return for RP3 and the sharing of 2025 cost savings with the customer. Consequently, regasification revenue declined modestly to RM305.2 million in 1H2026 (1H2025: RM309.7 million). Nevertheless, total revenue increased to RM353.0 million (1H2025: RM317.3 million), supported by ancillary services following the commencement of LNG floating storage unit (FSU) operations in August 2025. The FSU contributed RM42.9 million, or 12% of total revenue, more than offsetting the decline in regulated revenue. Based on the capacity reserved by its sole customer, PETRONAS Energy & Gas Trading Sdn Bhd, PLNG2 remains on track to achieve its full-year regasification revenue forecast of RM615.5 million.

In March 2026, PLNG2 drew down an additional RM800.0 million under its sukuk programme, of which RM732.4 milliono