Deadlock in Petronas-Petros talks over gas rights in S’wak

Free Malaysia Today

A source claims Petros wants to be the ‘middleman’ between Petronas and end users in the state, which will disrupt the national oil company’s existing commercial agreements.   Read More: https://www.freemalaysiatoday.com/category/nation/2025/03/12/deadlock-in-petronas-petros-talks-over-gas-rights-in-swak/  Laporan Lanjut: https://www.freemalaysiatoday.com/category/bahasa/tempatan/2025/03/12/hak-gas-sarawak-rundingan-petronas-petros-buntu/  Free Malaysia Today is an independent, bi-lingual news portal with a focus on Malaysian current affairs.    Subscribe to our channel - http://bit.ly/2Qo08ry   ------------------------------------------------------------------------------------------------------------------------------------------------------ Check us out at https://www.freemalaysiatoday.com Follow FMT on Facebook: https://bit.ly/49JJoo5 Follow FMT on Dailymotion: https://bit.ly/2WGITHM Follow FMT on X: https://bit.ly/48zARSW  Follow FMT on Instagram: https://bit.ly/48Cq76h Follow FMT on TikTok : https://bit.ly/3uKuQFp Follow FMT Berita on TikTok: https://bit.ly/48vpnQG  Follow FMT Telegram - https://bit.ly/42VyzMX Follow FMT LinkedIn - https://bit.ly/42YytEb Follow FMT Lifestyle on Instagram: https://bit.ly/42WrsUj Follow FMT on WhatsApp: https://bit.ly/49GMbxW  ------------------------------------------------------------------------------------------------------------------------------------------------------ Download FMT News App: Google Play – http://bit.ly/2YSuV46 App Store – https://apple.co/2HNH7gZ Huawei AppGallery - https://bit.ly/2D2OpNP  #FMTNews #Petronas #Petros

Transcript

00:00Petronas and Petroleum Sarawak Berhad appear deadlocked in negotiations over gas rights,

00:07with Sarawak sticking to its original demands despite giving assurances to the contrary,

00:12according to a source.

00:14The government insider said despite recent announcements by federal and Sarawak leaders

00:18that negotiations were progressing, the state's position has remained unchanged from last

00:24year.

00:25According to the insider, Petros is being positioned as a middleman between Petronas

00:29and end-users, with the Sarawak government insisting that all domestic gas users, including

00:35liquefied natural gas plants located in the state, comply with its distribution of gas

00:40ordinance 1958 and buy their gas solely from Petros.

00:45Such an arrangement is bound to disrupt existing commercial agreements Petronas has with end-users

00:50in the state, the source said.

00:53The source pointed out that Sarawak's position conflicts with recent statements by Prime

00:57Minister Anwar Ibrahim, who said the Petroleum Development Act 1974 would remain the overarching

01:03governance framework for Malaysia's oil and gas industry.

01:07The source said the inability of both sides to come to a compromise highlights the complexity

01:12of having overlapping laws, with Petronas and Petros each insisting on their legal rights,

01:18Petronas citing the PDA and Petros, the DGO, to justify their positions.

01:23The source said this was why Anwar called for a commercial solution to resolve the long-running

01:28battle.

01:30The source warned that without a compromise, both oil companies and the two governments

01:34will find themselves in a lose-lose position over the longer term.

01:39Natasha Buzd, FMT.

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