No legal action from PETRONAS against Sarawak as gas distribution talks continue, Premier’s Office confirms

Abang Johari (left) meeting with Tengku Muhammad Taufik at the Premier's Office in Wisma Bapa Malaysia on Sept 24, 2024.
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By DayakDaily Team

KUCHING, Sept 24: The Office of the Premier of Sarawak has confirmed that no legal action is being considered by Petroliam Nasional Berhad (PETRONAS) against the Sarawak government or Petroleum Sarawak Berhad (Petros).

This assurance followed a joint meeting between the Sarawak government, PETRONAS, and Petros at the Premier’s Office earlier today.

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Sarawak Secretary Datuk Amar Mohamad Abu Bakar Marzuki, Minister of Utility and Telecommunication Dato Sri Julaihi Narawi, Deputy Minister in the Premier’s Department (Law, MA63 and State-Federal Relations) Datuk Sharifah Hasidah Sayeed Aman Ghazali, PETRONAS president Tan Sri Tengku Muhammad Taufik Tengku Kamadjaja Aziz and Petros chief executive officer Dato Janin Girie attended the meeting.

A statement revealed: “The Sarawak government, PETRONAS, and Petros confirm that discussions regarding gas distribution in Sarawak are ongoing and expected to conclude soon.”

The three parties also reaffirmed their commitment to respecting and complying with both federal and Sarawak laws on the matter.

The statement effectively dismissed the speculation that PETRONAS might take legal action to preserve its control over Malaysia’s oil and gas resources.

This speculation arose following Petros positioning itself to become the sole gas aggregator in Sarawak, a move seen as challenging PETRONAS’ dominance in the sector since 1974.

With Sarawak pushing for full rights ahead of the approaching Oct 1 deadline, a Channel News Asia (CNA) report, citing unnamed government sources, suggested that PETRONAS might seek a court injunction to block Sarawak’s efforts to take control over the distribution and sale of liquefied natural gas (LNG) through Petros.

However, PETRONAS has reiterated its commitment to forging a mutually beneficial partnership over the distribution of natural gas in Sarawak.

The national oil and gas company stressed the importance of reaching a resolution that respects the strengths and limitations of all parties involved and ensures that the country’s economic stability is maintained. — DayakDaily

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