Call for Sabah intervention in federal court over petroleum sovereignty

KOTA KINABALU (March 2): Kapayan assemblyperson Chin Tek Ming has called on the Sabah government to take immediate constitutional action to protect the state’s oil and gas rights under the Malaysia Agreement 1963 (MA63), following the recent High Court decision involving Petroliam Nasional Berhad (Petronas) and Petroleum Sarawak Berhad (Petros).

Chin highlighted that the High Court ruling on the RM7.95 million bank guarantee dealt solely with banking and contractual matters and did not address the constitutional validity or applicability of federal petroleum legislation in Sarawak.

The matter, he noted, now rests exclusively with the Federal Court.

“The constitutional issues are now squarely before the apex court.

“Sarawak has invoked Articles 4(3) and 128(1) of the Federal Constitution to obtain a definitive ruling.

“That is the proper constitutional pathway,” Chin said.

He added that the case raises fundamental questions regarding whether sovereign and regulatory authority over petroleum resources remains with in the Borneo states under MA63 or has been validly transferred to the federal government under the Petroleum Development Act 1974 (PDA 1974).

Chin said the constitutional principles at stake are not unique to Sarawak, as Sabah entered the Federation under the same 1963 compact.

He urged the Sabah government to immediately establish a high-level State Constitutional Legal Task Force comprising constitutional experts and senior counsel, conduct an urgent review of Sabah’s rights under MA63 and the Federal Constitution, and formally consider filing proceedings before the Federal Court to clarify Sabah’s ownership, regulatory authority, and oil revenue entitlements.

“Sabah must not be a bystander while constitutional boundaries affecting our petroleum resources and fiscal future are being delineated,” Chin said.

Emphasising that the matter transcends party politics, he added:“As an opposition state assemblyperson and practising lawyer, I state unequivocally that if the Sabah government undertakes firm and principled constitutional action, the opposition will give full support.

“This concern constitutional fidelity, fiscal justice, and the long-term interests of the people of Sabah.

“Seeking judicial clarification is not confrontation; it is constitutional responsibility.

“Sabah must act—decisively, lawfully, and without delay,” Chin concluded.