High Court grants Petronas subsidiaries leave to challenge RM120m gas penalties in Sarawak
KUCHING, Feb 6 — The Kuching High Court today granted five Petroliam Nasional Bhd (Petronas) subsidiaries leave to seek judicial review over RM120 million in penalties imposed under Sarawak’s gas distribution law.
Judicial Commissioner Dean Wayne Daly ruled that the applicants had raised an arguable case and the issues should be heard in a substantive hearing.
The court, however, did not grant a stay on the imposition of the financial penalties.
The applicants — Petronas Carigali Sdn Bhd, Malaysia LNG Sdn Bhd, Malaysia LNG Dua Sdn Bhd, Malaysia LNG Tiga Sdn Bhd and Petronas LNG 9 Sdn Bhd are seeking to quash notices of financial penalty issued under Section 7 of the Distribution of Gas Ordinance (DGO) 2016.
They were penalised for allegedly failing to apply for licences to operate in Sarawak, with eight notices of RM15 million each issued against them, amounting to RM120 million.
The applicants’ legal team comprised lawyers Khoo Guan Huat and Alex Ngu Sze Shae, while the respondents were represented by State Legal Counsel Datuk Seri JC Fong and State Senior Counsel Mohd Adzrul Adzlan from the State Attorney General’s Chambers.
The court fixed March 2 for case management.

