The dispute is a major headache for Anwar Ibrahim, who celebrates his second anniversary as prime minister on Sunday, a milestone that none of his three immediate predecessors reached. Sarawak Premier Abang Johari Tun Openg, the key driver behind the state’s pursuit of gas rights, was key to helping Anwar secure power after inconclusive elections in 2022, and controls the third-largest party in Anwar’s government.
One of Malaysia’s wealthiest states is trying to seize control of the nation’s biggest gas reserves, complicating relations in the ruling coalition and threatening a blow to federal revenues.
Sarawak — Malaysia’s biggest and most resource-rich state — is demanding local gas distribution rights from the country’s Petroliam Nasional, or Petronas, which has had full control for 50 years. Talks to find an amicable resolution have dragged on for nearly four months, well past an Oct 1 deadline.
