Judgment on Petronas application
The Federal Court will deliver its decision on Petroliam Nasional Bhd’s (Petronas) application for leave to commence proceedings against the Sarawak government under Article 128(1)(a) of the Federal Constitution tomorrow (June 22) as Chief Judge Of The High Court of Malaya, Tan Sri Datuk Ahmad Maarop read his judgement at the Federal Court this morning.
Petronas is challenging the Sarawak government’s claim to regulatory authority in the upstream oil and gas sector and filed application on 4th this month before the Federal Court seeking for a declaration on the Petroleum Development Act (PDA) 1974 being the law applicable for the petroleum industry in Malaysia.
The oil and gas company is seeking to clarify that under the law, it is the exclusive owner of the petroleum resources as well as the regulator for the upstream industry throughout Malaysia, including in Sarawak.
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