Premier Seeks Growth: Sarawak Oil and Gas Industry Collaboration with Petronas Sets Path for Economic Development


Premier: S’wak Seeks Collaboration with Petronas for O&G Industry Development

Premier: S’wak wants collab with Petronas to develop O&G industry, not control

Sarawak’s Approach to Oil and Gas Development

In a significant announcement, Premier Datuk Patinggi Tan Sri Abang Johari Tun Openg clarified Sarawak’s stance on its oil and gas industry, emphasizing collaboration over control. Here’s a breakdown of the Premier’s key statements and the implications for Sarawak’s energy future.

Collaborative Approach to Sector Development

Premier Abang Johari stressed that Sarawak aims to foster collaboration rather than assert control over Petronas’ rights within the state’s oil and gas sector. This approach is underpinned by the establishment of Petroleum Sarawak Berhad (Petros) to ensure the state plays a pivotal role in its resource development.

Equal Partnership, Mutual Benefits

Speaking at the Sarawak Oil and Gas Services and Equipment Industry Vendor Appreciation Ceremony, the Premier likened the relationship between Sarawak and Petronas to that of siblings, emphasizing equality and mutual respect. He highlighted that the collaboration respects both parties’ rights without infringing upon each other.

Legislative Framework and Guiding Laws

Premier Abang Johari outlined that Sarawak’s actions are guided by five key laws, including the Sarawak Land Code and the Malaysia Agreement 1963. These laws form the basis for Sarawak’s regulatory framework in managing its oil and gas resources.

Recognition and Future Prospects

Recognition of Industry Success

During the ceremony, Premier Abang Johari underscored the importance of acknowledging successful vendors in the Oil and Gas Services and Equipment (OGSE) industry. He highlighted their role in Sarawak’s development strategy towards achieving developed state status by 2030.

Economic Contributions and Targets

Petronas Senior Vice President Datuk Bacho Pilong commended Sarawak vendors for their resilience and competitiveness, noting an increase in jobs awarded to local vendors since 2020. He expressed optimism in meeting 2024 targets amidst current challenges, with significant job values already awarded to Sarawak vendors.


In conclusion, Sarawak’s approach to its oil and gas industry emphasizes collaboration and mutual benefit with Petronas, rather than control. This strategic partnership, guided by legislative frameworks and supported by local vendor recognition, marks a pivotal step towards achieving economic development goals by 2030.


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