States to get oil royalties back, Terengganu MB says

July 19, 2018

Dateline 2018-06-07, Malay Mail:

Putrajaya has agreed to pay royalties to all oil-producing states, Terengganu MB Ahmad Samsuri Mokhtar said today.

He said the assurance was given by Prime Minister Tun Dr Mahathir Mohamad during the first National Finance Council meeting under the Pakatan Harapan (PH) government here earlier that was also attended by Deputy Prime Minister Datuk Seri Dr Wan Azizah Wan Ismail and the mentris besar of Kelantan, Perak, and Johor as well as the secretaries-general of ministries.

‘Higher oil price makes fuel subsidy less viable’

July 3, 2018

Dateline 2018-05-29, NST:

The Pakatan Harapan (PH) government may not be able to keep subsidising fuel price for too long if global oil price remains above US$70 per barrel, analysts said.

They estimated that based on the current oil price at about US$76 per barrel, the local fuel price at service stations should be about 40 sen higher than what it is now.

For the week just ended, the benchmark Brent crude oil price suffered its first weekly loss of 2.64 per cent after six straight weeks of gains, settling at US$76.44 per barrel.

Over the past seven weeks, the price of RON95 petrol remained at RM2.20 per litre, RON97 at RM2.47 per litre, diesel at RM2.18 per litre and Euro 5 diesel at RM2.28 per litre.

Prime Minister Tun Dr Mahathir Mohamad recently said the government would no longer be using the weekly fuel price adjustments under the managed float system.


S’wak BN slams Mahathir over oil rights comment

November 14, 2017

Dateline 2017-09-26, FMT:

A senior official in the Sarawak Barisan Nasional has criticised Dr Mahathir Mohamad over his comments on the Petroleum Development Act (PDA) and the unfavourable terms it gives to the state.

Tan Kai, who is a political secretary to Chief Minister Abang Johari Tun Openg, called out the Pakatan Harapan chairman over his reasons for not repealing the PDA in his 22-year tenure as prime minister.

“Mahathir could have easily repealed PDA if he thought that it was not fair to Sarawak, as he had a two-thirds majority all the time,” Tan said in a statement yesterday.

Mahathir, who is also PPBM chairman, had reportedly said that his hands were tied as the PDA was drafted and approved before his time as prime minister, hence he could not do anything about the oil royalty and funds to be given to Sarawak.

Former Malaysia PM Abdullah Badawi replaces Mahathir as adviser to state oil giant Petronas

May 13, 2016

Old news, but hey…

Dateline 2016-03-25, Straits Times:

Former Malaysian Prime Minister Tun Abdullah Ahmad Badawi has been endorsed by the Cabinet as the new adviser to state oil and gas company Petronas, Premier Najib Tun Razak announced on Friday (March 25), replacing another former premier Tun Dr Mahathir Mohamad whose services were terminated earlier this month.

Tun Abdullah’s appointment is effective April 1, Malaysia media reported.

“The decision to terminate the appointment of Tun Dr Mahathir Mohamad was made by the Cabinet since he was no longer supporting the present government, especially with the launch of ‘Deklarasi Rakyat’ (Citizen’s Declaration) together with opposition leaders,” Najib said in a statement reported by state news agency Bernama.

Malaysia’s Mahathir Mohamad’s role as advisor to Petronas terminated

May 1, 2016

In case you have been asleep the past month.

Dateline 2016-03-11, Reuters:

Former Malaysian premier Mahathir Mohamad post as advisor to the national oil and gas firm Petronas has been terminated, a statement from the Prime Minister’s office said on Friday.

“The Cabinet decided that, since Tun Mahathir is no longer supporting the current Government, he should no longer hold any position related to the Government,” the statement said.

Mahathir joined hands with several opposition leaders last week to sign a “Citizen’s Declaration”, calling for Prime Minister Najib Razak’s resignation.

Mahathir, Malaysia’s longest serving Prime Minister, took on an advisory role at Petronas after stepping down in 2003.


Sabah varsity to set up petroleum faculty

May 11, 2012

Been there. And what’s this ‘soon become a rich state’? I thought it already was.

Dateline 2012-05-02:

A petroleum engineering faculty will be set up soon in Universiti Malaysia Sabah (UMS).

Former prime minister Tun Dr Mahathir Mohamad said it was about time that UMS established a new faculty focusing on oil and gas as Sabah would soon become a rich state because of its natural resources.

With the setting up of the petroleum engineering faculty, Dr Mahathir was confident that Sabah would benefit from its oil resources.


Developments – Limbang and Oil Claims

May 6, 2010

A summary of accusations and confusion clarifications on the above topic. But notice Murphy has been keeping quiet.

From AP via Google, dateline 2010-04-02:

Malaysia’s PETRONAS, Brunei to develop oil blocks

KUALA LUMPUR, Malaysia — Malaysian national oil company PETRONAS said Saturday that it is in talks with Brunei to jointly develop two offshore oil reserves off Borneo island after the two nations ended a long-standing spat over ownership of the areas.

Both Malaysia and Brunei awarded exploration contracts in 2003 to parts of an undersea site off Borneo with potentially large oil reserves. But exploration activities have since stalled because the countries discovered that some of the areas overlap.

From The Star, dateline 2010-04-02:

Pak Lah dismisses Dr M’s claims he gave away oil-rich areas to Brunei

PUTRAJAYA: Former Prime Minister Tun Abdullah Badawi has dismissed former prime minister Tun Dr Mahathir Mohamad’s allegation that he had given away two oil-rich areas to Brunei in 2009 in exchange for Brunei dropping its claims on Limbang in Sarawak.

In a statement, he said that regarding the maritime area, Malaysia and Brunei agreed to establish a final and permanent sea boundary in an exchange of letters on March 16, 2009 aimed at settling the boundary issues between the two nations.

From the Sun (no, not that Sun), dateline 2010-05-02 (kinda slow to report, aren’t they?):

Mahathir queries loss of USD100 billion in deal to reclaim Limbang

KUALA LUMPUR (April 30, 2010): Former premier Tun Dr Mahathir Mohamad has taken to task Wisma Putra and his successor Tun Abdullah Ahmad Badawi for the loss of USD100 billion (RM320 billion) of Malaysia’s oil in a deal with Brunei to get back Limbang.

In a posting on his blog titled “Malaysia’s generosity” which quoted reports in The Edge Financial Daily, The Edge and the Brunei Times, Mahathir said a substantial oil producing offshore area in the South China Sea, namely Block L and Block M, are no longer a part of Malaysia. In an immediate response carried by news portals Abdullah dismissed Mahathir’s allegation. He said Malaysia and Brunei agreed to establish a final and permanent sea boundary in an exchange of letters on March 16, 2009 aimed at settling the boundary issues between the two nations, including overlapping claims over the two blocks. He said though sovereign rights to the resources belong to Brunei, Malaysia will be allowed to participate, on a commercial basis, to jointly develop the oil and gas resources in this area for a period of 40 years.

And on Tun’s blog deadline 2010-04-29:

1. The Edge Financial Daily, an article by Joseph Chin (The Edge, April 22nd) as well as Brunei Times reported a substantial oil producing offshore area in the South China Sea, namely Block L and Block M, were no longer a part of Malaysia.

2. Malaysians and the Malaysian media did not ask how this came about. It would seem that the loss of a huge oil producing area that had apparently belonged to Malaysia is okay.

3. Block L and Block M had been claimed by Malaysia based on historical facts. Accordingly, Petronas entered into a production sharing contract with Murphy Oil to start drilling to produce oil. It is estimated that the reserves amounted to almost 1 billion barrels.