(Bloomberg) — Malaysian Prime Minister Anwar Ibrahim said the monthslong dispute over gas distribution rights in Sarawak between Petroliam Nasional Bhd. and the Borneo state has been resolved, Bernama reported.
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Anwar said he believed issues concerning the right to distribute gas in the state have been resolved through negotiations, including his meeting with Sarawak Premier Abang Johari Tun Openg, according to the Malaysian news agency.
Sarawak — Malaysia’s biggest state — is demanding local gas distribution rights from national oil company Petronas, which has had full control for 50 years. Abang Johari was key to helping Anwar secure power after inconclusive elections in 2022, and controls the third-largest party in the Malaysian government.
National oil company Petronas’ position remains unchanged as Sarawak’s gas ordinance does not override federal laws, Anwar was cited as saying. The Borneo state’s energy firm, Petros, was set up to enable Sarawak to undertake gas exploration and distribution within the state, he said.
Petronas and Petros have been in talks to resolve disputes over gas distribution rights in the state since July, and have passed an Oct. 1 deadline.
Petronas and the Sarawak government couldn’t immediately be reached for a comment.
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