Saudi state oil firm Aramco and Malaysia’s Petronas are looking to replace an $8bn short-term loan raised in March to help fund the Refinery and Petrochemical Integrated Development (Rapid), under construction at Johor 400km south of Kuala Lumpur.

The firms issued a request for proposals to banks last month and are in preliminary discussions for a loan with a maturity of more than 10 years to replace the bridge loan, Reuters reports. The bridge loan has a 364-day tenor and an interest...