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Petronas said on Friday it will not provide any additional comment when asked about the potential sale.

The sources said Petronas has been considering a sale for months, after it became apparent that a Canadian approval was possible, but had yet to take a final decision. Other options are also being considered, including putting it on ice.

“They are going to be looking at gas prices, costs and returns before they make the final decision,” said one of the sources. “It is a very tough call.”

The Canadian project is Petronas’ biggest foreign investment and seen as a sign of Malaysia’s global energy ambitions. An exit would underscore the financial constraints at the state-run firm and also the soft outlook for LNG prices.

Last month, Petronas reported an 85 per cent slide in second-quarter profit and labeled the industry outlook “gloomy” well into 2017. It has committed to paying 16 billion ringgit to the government coffers this year, down nearly 40 per cent from its year-ago contribution.

TOUGH SELL

Petronas signed on for the project in 2012 through the acquisition of Canada’s Progress Energy.

It has faced several hurdles. Aboriginal and environmental groups have said the project would threaten a salmon habitat. The LNG price decline added to concerns, also a growing supply glut as other projects went live.

If Petronas goes ahead with a sale, finding a buyer in current market conditions would be difficult, the sources said.