Putrajaya, Sarawak Sign Joint Declaration On Petronas, Petros

PUTRAJAYA, May 21 (Bernama) -- The Federal Government and Sarawak have signed a joint declaration, reaching an understanding on matters involving Petroliam Nasional Bhd (Petronas) and Petroleum Sarawak Bhd (Petros).

The declaration was signed at Perdana Putra by the Prime Minister, Datuk Seri Anwar Ibrahim, and Sarawak Premier, Tan Sri Abang Johari Tun Openg.

At a joint press conference, Anwar, who is also Finance Minister, said the agreement represented a step forward in national and state development through cooperation between Petronas and Petros.

“This understanding, in principle, had been discussed earlier with the Premier, taking into account the parameters that recognise both the Petroleum Development Act (PDA) 1974 and Sarawak’s amended Distribution of Gas Ordinance (DGO) 2016,” he said.

Anwar said the agreement reflected Sarawak’s growing maturity and capability, including the establishment of a state oil company with significant potential.

He added that the understanding ensured Petronas' role would remain intact, while Petros' position in Sarawak would be formally recognised.

“Petronas’ role is not diminished. It continues to operate as usual, but now within a framework that also takes into account Sarawak’s enhanced responsibilities and Petros’ role.

“This understanding allows Petronas to continue its operations, while recognising Petros as a key player in Sarawak. Both will work together to elevate Malaysia’s standing in the oil and gas sector,” he said.

Anwar also said the government aimed to position Sarawak as the regional hub for the oil and gas industry in ASEAN.

“I believe this is a realistic and strategic move that will strengthen the nation’s economy and enhance Sarawak’s position,” he said.

Also present were Deputy Prime Minister, Datuk Seri Fadillah Yusof; Sarawak Utilities and Telecommunications Minister, Datuk Seri Julaihi Narawi; and Works Minister, Datuk Seri Alexander Nanta Linggi.

Chief Secretary to the Government, Tan Sri Shamsul Azhar Abbas; Attorney-General, Datuk Mohd Dusuki Mokhtar; and Sarawak Attorney-General, Datuk Saferi Ali, also attended the ceremony.

On Feb 17, 2025, Anwar said the Federal and Sarawak governments acknowledged Sarawak’s aspiration to develop its own oil and gas industry. He said this would be enabled through the DGO, which comes into effect on March 1, 2025.

-- BERNAMA