Sarawak Acknowledges 1974 Petroleum Development Act But Has the Right to Decide the Distribution of Oil and Gas Within Its Territory

Published at Feb 10, 2025 04:11 pm
(Kuching, 10th) Sarawak Premier Datuk Patinggi Tan Sri Abang Johari stated that Sarawak has the right to decide on the distribution of oil and gas resources within the state.

He said Sarawak acknowledges the 1974 Petroleum Development Act, which mandates that Petronas manage all federal oil and gas resources in the country.

"We accept this, but for the production of oil and gas within Sarawak, Sarawak must have a say. This is why we established Petros, the Sarawak oil company, which will collaborate with Petronas.

"We have a say in the distribution of gas."

Recently, Prime Minister Datuk Seri Anwar stated that he has agreed to let the Sarawak oil company become the gas distribution hub for Sarawak.

Abang Johari said this in response to an interview after delivering a public lecture at the Yusof Ishak Institute of Southeast Asian Studies in Singapore today.

He stated that both Petros and Petronas have similar functions, and by consensus, Petros also plays a role in Sarawak's oil and gas industry.

According to reports, last month Prime Minister Anwar stated that Petros has been granted the authority as Sarawak’s gas distribution hub, which will not interfere with Petronas’s existing operations.

"Petronas retains its power nationwide but allows Sarawak to control the distribution of gas for domestic purposes. This reflects the cooperation between the two entities."

Author

Tan Chok Bui


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