HEADLINES

Petronas seeks court clarification on Petroleum regulatory framework in Sarawak

The company files motion at the Federal Court to clarify legal position on its petroleum operations in Sarawak, ensuring compliance with governance standard

5:12 PM MYT

 

KUALA LUMPUR – Petronas has filed a motion at the Federal Court in Putrajaya to seek clarification on the regulatory framework governing petroleum operations in Sarawak.

The national oil company named both the federal and Sarawak state governments as respondents in the suit, Bernama reported.

In a statement, Petronas explained that the motion aims to ensure its operations align with the regulatory framework and uphold good governance practices.

“The application is not intended to challenge Sarawak’s development goals or hinder the role of Petroleum Sarawak Bhd (Petros) in the state’s energy sector,” said the company.

The decision to file the motion follows discussions and negotiations with Petros and both federal and state authorities since 2024. Petronas acknowledged progress on several commercial arrangements, including the signing of the Commercial Settlement Agreement (CSA) in 2020. However, differences persist over the regulatory framework applicable to Petronas’s operations in Sarawak.

In reviewing the matter, Petronas urged all parties to respect the legal process and refrain from making statements that could interfere with the judicial process.

“We call on everyone to allow the Federal Court the space to make an appropriate determination on the application,” the company added.

Despite the ongoing legal discussions, Petronas reaffirmed its commitment to transparent and responsible operations in Sarawak.

“All operations will continue as usual, and we remain committed to strengthening our relationships with the community and industry in Sarawak. We will continue working towards advancing the state’s development aspirations and contributing to Malaysia’s overall prosperity,” the statement read.

Petronas also reiterated its commitment to maintaining open communication about its operations and joint ventures. – January 12, 2026

Topics

 

Popular

Petronas staff to be shown the door to make up losses from Petros deal?

Source claims national O&G firm is expected to see 30% revenue loss once agreed formula for natural gas distribution in Sarawak is implemented

Cleared for layoffs? AirAsia to retrench 20% of workforce in major cost-cutting move

This allegedly involves cabin services, cargo and logistics, engineering and maintenance, as well as the commercial division, according to Scoop’s source

Apad confirms inDrive licence revoked effective July 24, but company can appeal

Russian-based company can file appeal through the agency for the Transport Ministry's consideration

Related