
by DayakDaily Team
KUCHING, March 19: Batu Kitang assemblyman Datuk Lo Khere Chiang strongly rebuts former senior Treasury official Nik Azmi Nik Daud’s dismissive stance on Sarawak’s oil and gas (O&G) rights, emphasising that the State’s claims are rooted in historical facts and legal rights established long before the formation of Malaysia.
In a statement today, Lo highlighted that Sarawak’s legal rights over its O&G resources take precedence over the Petroleum Development Act 1974 (PDA74) while the Oil Mining Ordinance 1958 (OMO58) was never repealed under the Malaysia Agreement 1963 (MA63) and remains in force, reinforcing Sarawak’s autonomy over its O&G industry.
“PDA74 exists and is still in force but it cannot nullify Sarawak’s pre-existing rights under the OMO58.
“However, rather than engaging in a prolonged legal battle that could disrupt economic growth and create uncertainty, Sarawak has taken a pragmatic approach—allowing PDA74 and OMO58 to coexist while continuing to assert its constitutional rights.
“This is not submission; it is strategic governance. Sarawak’s autonomy is best protected through calculated, effective action—not political theatrics,” he said.
Lo also pointed out that the PDA74 does not erase Sarawak’s ownership of its resources, and no amount of “legal manoeuvring or political pressure” would change that fact.
“Contrary to Nik Azmi’s claim, PDA74 was never tabled, debated, or approved in the Sarawak Dewan Undangan Negeri (DUN)—a critical constitutional requirement for any law affecting Sarawak’s rights. There is no Hansard record of Sarawak’s legislature ever debating or endorsing it,” Lo said.
He further emphasised that Sarawak’s leaders have since taken steps to correct all these historical injustice, including setting up Petros to manage Sarawak’s O&G, imposing a state sales tax on petroleum products, and signing a commercial agreement with Petronas to ensure a fairer share of our resources.
Moreover, thanks to the efforts of Yang di-Pertua Negeri of Sarawak (TYT) Tun Dr Wan Junaidi Tuanku Jaafar, MA63 has now been enshrined in the Federal constitution since 2021.
Under Sarawak Premier Datuk Patinggi Tan Sri Abang Johari Tun Openg’s leadership, Sarawak has also firmly asserted its constitutional rights over oil, gas, and its continental shelf by enforcing State laws, empowering Petros as sole gas aggregator, and strengthening regulatory control to safeguard its resources and economy. Abang Johari had stated unequivocally that the rights to Sarawak’s boundaries, including rights over the continental shelf, are non-negotiable.
Lo noted that the Territorial Sea Act 2012 is inconsequential to Sarawak, where the State’s rights over its continental shelf remain within 200 nautical miles from the coast. This assurance was given by Deputy Minister in Premier of Sarawak Department Datuk Sharifah Hasidah Sayeed Aman Ghazali (Law, MA63 and State-Federal Relations) during the third reading of the tabling of the Land Code (Amendment) Bill 2022 at Sarawak Legislative Assembly.
“For nearly 50 years, Sarawak has been forced to give up 95 per cent of its oil revenue while receiving only crumbs in return. In that time, Malaya has built world-class infrastructure, highways, transit systems, and modern cities—all funded in part by Sarawak’s wealth. Meanwhile, Sarawakians are still waiting for basic roads, decent schools, and proper hospitals.
“This is not ‘sharing’—this is exploitation. It is not enough for the Federal government to claim it is ‘developing’ Sarawak while continuing to take the lion’s share of our wealth,” Lo asserted.
“Nik Azmi used words like ‘bickering’ and ‘half-baked minds’. Is he calling Sarawakians ‘bickering’ and possessing ‘half – baked minds?’
“Sarawakians are not misinformed—we know our history, our laws, and our rights far better than someone who speaks without understanding. If anyone is half-baked, it is those who dismisses an entire state’s rightful concerns without proper knowledge or respect.
“All Sarawakians must speak up to set the record straight, defend our rights, and ensure that the truth of our history is no longer ignored or misrepresented,” he said. – DayakDaily