Moody’s affirms Petronas

Moody's Investors Service said it affirmed the A1 domestic issuer and foreign currency senior unsecured ratings of Petroliam Nasional Bhd. (Petronas).

At the same time, the agency affirmed the A1 rating on the senior unsecured notes issued by Petronas Capital Ltd. and guaranteed by Petronas and the A1 rating on the sukuk issued through Petronas Global Sukuk Ltd.

The outlook is stable.

"The affirmation of Petronas' ratings reflects our expectation that the company will maintain its strong operating profile, credit metrics and liquidity as it continues to generate free cash flow in an improved oil price environment and as it nears the end of its capital spending cycle," Vikas Halan, Moody's senior vice president, said in a news release.

"However, potential changes to the Malaysian government's policies for the oil & gas sector could affect Petronas' position as the sole owner of the country's petroleum resources, and increase the royalties paid on its upstream oil & gas production.”

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.