KUCHING: The Sarawak Government has filed a petition in the Federal Court seeking a ruling on the constitutional validity and continued application of several federal petroleum laws to the state, in a move aimed at safeguarding Sarawak’s rights over its offshore oil and gas resources.
Deputy Minister in the Premier’s Department (Law, Malaysia Agreement 1963 and State–Federal Relations) Datuk Sharifah Hasidah Sayeed Aman Ghazali said the petition, filed on Monday, specifically seeks a determination on the Petroleum Development Act 1974, the Continental Shelf Act 1966, and the Petroleum Mining Act 1966.
In a statement, she said these federal laws adversely affect and deprive Sarawak of its rights to natural resources, including petroleum found in the seabed within the state’s boundaries as defined under the 1954 and 1958 Orders in Council.
She explained that under the Malaysia Agreement 1963 (MA63) and related constitutional instruments, sovereign rights over petroleum resources in Sarawak’s seabed were vested in Sarawak on Malaysia Day by the British Government, not in the Federation of Malaysia.
She added that Item 2(c) of the Ninth Schedule of the Federal Constitution grants legislative authority to the Sarawak State Legislative Assembly to regulate petroleum rights, including the issuance of mining leases, certificates and prospecting licences.
According to her, the Continental Shelf Act 1966 and Petroleum Mining Act 1966 were originally applicable only to the states of Malaya but were later extended to Sarawak through an enactment passed following the 1969 Emergency proclamation.
“That Emergency was annulled by both Houses of Parliament in December 2011. Therefore, by June 2012, these two laws should no longer apply to Sarawak under Article 150(7) of the Federal Constitution,” she said.
She also noted that Petronas had filed an application on Jan 10, 2026, seeking leave from the Federal Court to challenge the validity of several Sarawak state laws regulating its petroleum operations in the state. The application is scheduled to be heard on March 16, 2026.
Sharifah Hasidah said the Sarawak Government would object to the application, as it does not fall within the Federal Court’s exclusive original jurisdiction under Article 128(1)(a) of the Federal Constitution.
She stressed that the state’s petition is necessary to obtain a definitive ruling under Articles 4(3) and 128(1) of the Federal Constitution on the validity of the federal laws in relation to Sarawak.
“The determination of these constitutional issues will also provide clarity on the regulatory framework for the oil and gas industry in Sarawak, particularly for investors in upstream and downstream activities,” she said.
Despite the legal action, she said the Sarawak Government remains committed to continuing constructive discussions with the Federal Government to reach an amicable solution that strengthens national unity, ensures sustainable resource management and enables Sarawak to contribute meaningfully to Malaysia’s economic growth.
