S’wak gov’t in control of Abang Kecil and Engkabang O&G resources

Lo debating in DUN today (Nov 11, 2020).

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By Lian Cheng

KUCHING, Nov 11: The Sarawak government is now in control of onshore oil and gas resources of Adong Kecil West, Miri and Engkabang, Marudi.

Quoting Chief Minister Datuk Patinggi Abang Johari Tun Openg, Batu Kitang assemblyman Lo Khere Chiang said the Sarawak government has handed over the oil mining leases of these two blocks of onshore oil and gas resources to Petroleum Sarawak Berhad (Petros).


“Our CM (chief minister) always has the interest and aspirations of Sarawakians in mind. He assured us that the state government is firmly committed to the regulation of oil mining in the state.

“That commitment is exemplified by the issuance of mining leases to Petros in respect of the two blocks in Miri and Marudi,” said Lo while debating on Sarawak Budget 2020 at Sarawak Legislative Assembly here today.

He said these achievements are in line with GPS (Gabungan Parti Sarawak) government’s commitment to exercise Sarawak’s constitutional rights to regulate oil mining under the state laws to take complete control over the exploration and production of petroleum in onshore areas.

“With the issuance of the lease, through Petros, Sarawak now has control and legal title to the oil and natural gas produced onshore,” said Lo

Lo took the opportunity to congratulate Sarawak Economic Development Corporation (SEDC) Energy for the tripartite venture with Japanese companies Sumitomo Corporation and ENEOS to set up the first hydrogen plant with a capacity of 10,000 tons in Bintulu.

He also highlighted Sarawak Petrochemical Hub which when fully operational, is expected to create 74,000 jobs for Sarawakians and rake in an additional income of RM1.5 billion to state coffers annually.

With Shell relocating the headquarters of its Malaysian operations to Miri and the commencement of renewed exploration activities for oil and gas production in the Miri and Marudi areas, Lo said the economy of Miri should experience robust growth in the coming years.

“This will indeed strengthen the role of Petros in spearheading the state’s enhanced involvement in the oil and gas industry especially in the downstream sectors.”

Lo who is also Padawan Municipal Council chairman pointed out that under the tenure of Abang Johari, there are many positive happenings and goodies benefiting Sarawakians in a big way. One such example is the fact that Sarawak government had received a cheque of RM2.96 billion as State Sales Tax payment from Petronas.

“Despite PH’s (Pakatan Harapan) 22 months of rule, it was all ‘hot air’ with no sight of any payment promised to Sarawak.

“This payment of the SST by Petronas was the result of a settlement reached between Petronas, the federal government and the GPS state government. Our CM is a man who walks the walk and talks the talk. Promises made. Promises kept,” said Lo. — DayakDaily