Petronas Seeks Clarity From Court On Petroleum Regulatory Framework In Sarawak

KUALA LUMPUR, Jan 12 (Bernama) -- Petronas has filed a motion at the Federal Court in Putrajaya to seek clarity on the applicable petroleum regulatory framework governing its operations in Sarawak.

In a statement today, the national oil company said the respondents are the Federal Government and the Sarawak state government.

The application seeks to determine the legal position applicable to Petronas’ operations in the state to ensure the company continues to operate in full compliance with the applicable laws and sound governance practices, it said.

According to Petronas, the application is not intended to challenge Sarawak’s development aspirations or hinder the role of Petroleum Sarawak Bhd (Petros) in the state’s energy sector.

The decision to file the motion follows a series of dialogues and negotiations with Petros as well as the federal and state governments since 2024.

“While progress has been made on many commercial arrangements and partnerships -- including the signing of Commercial Settlement Agreement (CSA) in 2020 -- there have been differences which led to uncertainty in respect to the obligations applicable to Petronas,” it said.

Petronas called on all parties to respect and allow the judicial process to take its course and be resolved by the Federal Court, and refrain from public commentary.

“In the meantime, Petronas remains committed to safe, reliable and efficient operations in Sarawak. Business activities will continue as usual,” it said.

Petronas said it will continue to strengthen its relationships with Sarawak communities and industries and work constructively towards arrangements that would both advance Sarawak’s development aspirations and ensure Malaysia’s prosperity.

The company also said it remains committed to transparent communication regarding its operations and partnership efforts.

-- BERNAMA