KUALA LUMPUR, Feb 12 — The ongoing disagreement between Petronas and Sarawak over gas aggregation appears to be rooted more in legal interpretation than in a breakdown of engagement, according to industry observers.

In May 2025, Prime Minister Datuk Seri Anwar Ibrahim and Sarawak Premier Tan Sri Abang Johari Openg signed a Joint Declaration (JD) outlining broad principles for gas aggregation and affirming the co-existence of the federal Petroleum Development Act 1974 (PDA) and Sarawak’s Distribution of Gas Ordinance (DGO).