Petronas has a monopoly over the extraction of oil and gas, but the Sarawak government has sought greater control over the state’s natural resources. (AFP pic)
PETALING JAYA: The Sarawak government has reiterated that Petroleum Sarawak Bhd (Petros) should be the sole appointed gas aggregator for the state as stipulated under the Distribution of Gas Ordinance (DGO).
State utility and telecommunication minister Julaihi Narawi confirmed that discussions between Petros and Petroliam Nasional Bhd (Petronas) are ongoing but “ought to be concluded soonest”.
“The Sarawak government reiterates that under the said ordinance, Petros is appointed the sole gas aggregator.
“There are no other gas aggregators in the state,” he said in a statement late last night.
The statement follows a clarification by Petronas earlier in the evening confirming that talks with Petros about the DGO were in progress.
Petronas issued its response after Sarawak premier Abang Johari Openg said the national oil company had acknowledged Petros as the sole aggregator for natural gas in Sarawak.
Petronas has a monopoly over the extraction of oil and gas, but the Sarawak government has sought greater control over the state’s natural resources.
Abang Johari previously said the negotiations should conclude before Oct 1.
However, it was reported last month that Petronas was considering filing a court injunction against Sarawak regarding the rights to distribute natural gas in the state.
The report by a Singapore-based news portal had quoted anonymous government officials as saying Petronas was mulling legal action to defend its monopoly over the country’s petroleum and gas resources.
The state government, along with both Petronas and Petros, denied the report and reiterated that discussions were ongoing.