Petronas confirms two subsidiaries served asset seizure notice

- Advertisement - [resads_adspot id="2"]

Petroliam Nasional Bhd (Petronas) said it viewed the action of alleged seizure of its assets as baseless and is working vigorously to defend its legal position on this matter.

The national oil company was referring to the Financial Times’ report titled: ‘Petronas subsidiaries seized as lawyers press $15bn claim on Malaysia’.

“We confirm that our two subsidiaries mentioned in the report have been served with ‘Saisie-arret’ on July 11, 2022,” Petronas said in a statement released in Kuala Lumpur yesterday.


It wishes to clarify that these subsidiaries, Petronas Azerbaijan (Shah Deniz) and Petronas South Caucasus, have previously divested their entire assets in the Republic of Azerbaijan and the proceeds from the exercise have been duly repatriated.

Meanwhile, several opposition MPs have sought an emergency Dewan Rakyat debate over the seizure of Petronas’ assets.

Salahuddin Ayub (Pakatan Harapan-Pulai), Isnaraissah Munirah Majilis (Warisan-Kota Belud) and Ramkarpal Singh (Harapan- Bukit Gelugor) have shared their written request that was sent to the Dewan Rakyat speaker’s office.

Isnaraissah, a Sabah lawmaker, argued that the seizure was a violation of Malaysia’s sovereignty and gave the claimants an apparent win.

“This can potentially cause chaos in Sabah. Once again, Sabah is at risk of never-ending security threats,” she said in her letter to Dewan Rakyat speaker Azhar Azizan Harun, explaining why the matter is of “urgent public importance” and thus necessitating the attention of the august house.

Ramkarpal told Azhar that he wished to seek explanations from the executive on how the claimants managed to obtain court orders to seize the assets at a time when Malaysia is challenging their arbitration award.

“I will also ask questions on the latest development in Malaysia’s appeal against the arbitration award and application to suspend the execution of the award,” said Ramkarpal.

Salahuddin argued that the public deserved an explanation because Petronas’ assets belonged to the public.

“The matter should be expedited with the prime minister providing an explanation on what legal measures had been taken and being taken by the attorney-general and Petronas,” he said.

Earlier report:

Jul 12, Sulu sultanate heirs reportedly seize Petronas assets worth US$2 billion