The negotiations between Sarawak government subsidiary Petronas and the National Oil Corporation (CNPC) over control of oil and gas resources have reached a deadlock, which may affect the relationship among members of the ruling coalition led by Prime Minister Anwar Ibrahim and also have an impact on the federal government's revenue.

The focus of this dispute is on the relationship between the Sarawak state government's subsidiary, Petronas, and the National Oil Corporation (CNPC). For a long time, PetroChina has been the core of Malaysia's oil and gas resource development and management, with a stable position and enormous influence. However, in recent years, the Sarawak state government's demand for oil and gas autonomy has become increasingly strong, especially hoping that Petronas can hand over its long-term monopoly on Sarawak's natural gas distribution rights. Behind this demand is Sarawak's deep concern and struggle for its own resource interests.

The unity government led by Prime Minister Anwar IbrahimSince taking office in November 2022, he has been committed to maintaining national stability and promoting economic development. However, the competition between Sarawak and CNOOC has undoubtedly brought unprecedented challenges to the government. On the one hand, as an important member of the unity government, the demands of the Sarawak state government cannot be ignored; On the other hand, CNOOC contributes significantly to the federal government's fiscal revenue, and if it relinquishes control, it will undoubtedly have a significant impact on the national finances.

According to media reports, negotiations between the two sides have reached a stalemate. The vision that was originally hoped to reach consensus through friendly consultations seems to be out of reach now. The Sarawak state government insists on demanding that Petronas relinquish its distribution rights, while Petronas hopes to reach some form of commercial arrangement with Sarawak while maintaining its own interests. The stalemate in this negotiation has not only put both sides in a difficult situation, but also raised doubts about Prime Minister Anwar Ibrahim's governing ability from the outside world.

Faced with this dilemma, Prime Minister Anwar Ibrahim has repeatedly emphasized the political stability of Malaysia and the close cooperation among members of the unity government to safeguard the interests of the entire nation as the highest goal. He called on all parties to remain calm and rational, and to seek the best solution through dialogue and negotiation. At the same time, he also stated that the government will actively promote reform and innovation in the energy sector to achieve more equitable and sustainable energy development.