Petronas Petros Collaboration Being Worked Out Says Fadillah


 
The Sarawak oil company Petros has written to Petronas to work out details of their collaboration, said deputy prime minister Fadillah Yusof. (Bernama pic)
PETALING JAYA: Petronas and Sarawak’s oil company Petros are still hammering out the details of their proposed collaboration, deputy prime minister Fadillah Yusof said.
Any further discussion between them will hinge on the outcome of the negotiations, Fadillah said, according to the Borneo Post.
He said Petros had submitted a letter to Petronas earlier this week to initiate discussions on key details, including commercial arrangements to ensure both companies operate in alignment.
“The details have not been finalised, but Petros has written to Petronas to work it out. Only after that can they come to an agreement,” he was quoted as saying.
The two oil companies have been in dispute since the Sarawak state government asserted its rights to exploit oil and gas reserves despite a federal law, the Petroleum Development Act 1974, assigning exclusive rights to Petronas.
Last month, Prime Minister Anwar Ibrahim said the Sarawak government had accepted that the act was federal law and that Petronas retained all its contractual obligations in the state.
However, Petros would take control of gas distribution in Sarawak, as an aggregator, from March 1.
Fadillah said Anwar and Sarawak premier Abang Johari Openg would intervene in the issue only if there is an impasse.
“For now, let Petros and Petronas work out all the details, including the commercial arrangements and how to interpret the two legal frameworks so that they can function together,” said Fadillah.
In February, Anwar said discussions between Petronas and Petros would cover various aspects of cooperation, including new projects explored by both companies in any field.
Abang Johari had also said last month that while Petronas and Petros will work together to advance both national and state interests, Sarawak’s interests would take precedence. - FMT


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