PETRONAS Digital, the digital arm of PETRONAS, has entered into a strategic collaboration with Microsoft and Cegal to accelerate digital innovation for the upstream value chain.

The collaboration will see the construction of Microsoft Azure High-Performance Computing (HPC), AI Infrastructure platform to support and scale a wide array of applications that would optimise PETRONAS Upstream’s operational efficiency, including advanced Artificial Intelligence (AI), machine learning, energy transition and decarbonisation use cases.

It was formalised in a Memorandum of Understanding (MOU) signed by PETRONAS Digital Chief Executive Officer Phuah Aik Chong, Microsoft Malaysia Managing Director K Raman, and Cegal Chief Executive Officer Dagfinn Ringås. Also present was PETRONAS Vice President of Group Technology and Commercialisation, Aadrin Azly.

“This collaboration has the potential to unlock new possibilities and drive innovation in the upstream value chain, leveraging on the domain expertise of PETRONAS, advanced capabilities of Azure’s HPC, AI Infrastructure solution and the expertise of Cegal. HPC and AI capabilities can further optimise the delivery of our energy offerings and innovate operations within the wider energy industry,” said Aadrin.

The proposed construction of this Azure HPC platform is also poised to support other partners in Malaysia’s energy sector, including production agreement contractors (PACs), to achieve their business objectives.

"As a technology partner to PETRONAS, we are committed to help accelerate their innovation journey with Microsoft’s artificial intelligence and Microsoft Azure High Performance Computing solutions,” said K Raman.

“Building upon our existing HPC engagement, this new collaboration will enable key technological advancements—delivering potential for growth and efficiency—both within PETRONAS’ Upstream business unit and for the overall energy sector.”

Ringås said: “Moving high-performance computing (HPC) workloads to the cloud with a managed service from Cegal has been a game-changer deal for us in Asia and a big vote of confidence from one of the largest and most professional energy companies in the world. It also shows that we are succeeding in our ambition to build a leading global tech company for the energy sector.”

This announcement underscores PETRONAS' support towards Microsoft's cloud services from their upcoming datacenter region, to be established in Malaysia to enable greater innovation, enhanced agility, and cost optimisation.