The Sarawak state government has launched legal action against Petronas Carigali Sdn Bhd, alleging illegal operations at its Miri Crude Oil Terminal due to the lack of a required license under the state’s Distribution of Gas Ordinance (DGO). A legal notice issued on April 30 gave Petronas Carigali 21 days to comply or face financial penalties. Sarawak challenges the 1974 Petroleum Development Act, which grants Petronas authority over Malaysia’s hydrocarbons, arguing that its own Oil Mining Ordinance 1958 governs resources within 200 nautical miles of its coast. The state claims it holds 60.87% of Malaysia’s petroleum reserves and contributes 90% of the country’s LNG exports.
Business News
Sarawak Sues Petronas Over Illegal Miri Oil Terminal Operations in Resource Control Clash
This action reflects escalating tensions between Sarawak and Petronas, as Sarawak seeks greater control over its oil and gas resources through its state-owned firm, Petroleum Sarawak Berhad (Petros).
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