KUCHING: The Kuching High Court has postponed its decision in the legal dispute between Petroliam Nasional Bhd (Petronas) and Petroleum Sarawak Bhd (Petros) to Feb 25, extending uncertainty over gas distribution control in Sarawak.
Petronas’ lawyer Alex Ngu said the ruling, originally scheduled for Friday, was deferred by the court.
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The case involves Petros’ attempt to recover RM7.95 million paid to Petronas after the national oil company called on a bank guarantee in October 2024 following Petros’ refusal to pay for gas supplied two months earlier.
Petros contends that Petronas’ action was unlawful, arguing that the company does not hold a licence under Sarawak’s Distribution of Gas Ordinance 2016 to supply gas in the state.
Petronas maintains that the gas was supplied and accepted, and that federal law governs petroleum activities nationwide.
The ruling is expected to clarify whether state or federal laws prevail in regulating gas distribution in Sarawak and could shape future commercial arrangements between the two companies, as well as the balance of federal and state authority in Malaysia’s oil and gas sector.