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Showing posts with label 5% oil royalty. Show all posts
Showing posts with label 5% oil royalty. Show all posts

Salleh: Resolve oil royalty issue now

KOTA BELUD: Sabah Umno Liaison Committee deputy chief Salleh Said Keruak has cautioned Putrajaya against ignoring calls for an urgent review of the current 5% oil royalty.

He said an immediate review was necessary and timely in view of the mounting calls from leaders within the Barisan Nasional coalition here and in Sarawak.

Salleh, who is also state legislative assembly speaker, believed the majority of the people of Sabah would support such a move.

Oil & Gas Royalties

What a royalty is. How it is calculated. What is it based on?

Whenever oil or gas production begins,the landowner is entitled to part of the total production. A royalty is agreed upon as a percentage of the lease, minus what was reasonably used in the Lessee's production costs. The royalty is paid by the Lessee to the owner of the mineral rights, the Lessor in the Lease. It is based on a percentage of the gross production from the property and is free and clear of all costs, except for taxes.

Traditionally, royalty can be 1/8 of production or 12.8 percent of production; however, it can be any fraction of production, depending on the royalty clause in a lease. The landowner should negotiate for as high a royalty as can be arranged.

Shafie puts foot in mouth about Sabah oil and basic politics

By Daniel John Jambun
KOTA KINABALU: In Datuk Shafie Apdal’s comment about the opposition’s promise to give 20% royalty for its oil if it was voted to power, he stressed only two important points, that is, Sabah shouldn’t take 20%“because it needs to share its wealth” and “the opposition should not makes promises that causes rift among the people.”
 
I have one thing to say about what he said: these are some of the dumbest and most idiotic statements we have heard in the political history of Sabah. It is no better than when Datuk Salleh Said Keruak said the people should blame themselves for the increase in illegal immigrants in Sabah, or when Tun Mahathir said the illegals in Sabah should be given citizenships because they can speak Bahasa Malaysia!
 

Dr Jeffrey Urges Government to Restore Oil Rights

Jeffrey Kitingan claims the vesting order signed by
then prime minister Abdul Razak on March 26, 1975
granting ownership rights to Petronas is
unlawful, unconstitutional and nvalid.
“The Sabahgovernment need to take immediate actions to restore ownership rights of Sabah’s oil and gas resources as the legal opinion is that the vesting order signed by Tun Abdul Razak on 26 March 1975 granting ownership rights to Petronas is unlawful, unconstitutional and invalid” said Datuk Dr. Jeffrey Kitingan, Chairman of STAR Sabah at a press conference regarding proposed legal action on the vesting of Sabah’s oil and gas resources to Petronas.

As a re-collection, Tun Abdul Razak, the then Prime Minister of Malaysia, had on 26 March 1975 signed away Sabah’s oil and gas resources to Petronas by executing the Vesting Order under Section 2(2) of the Petroleum Development Act, 1974 and granted in perpetuity and conveyed to and vested in Petronas the ownership in and the exclusive rights, powers, liberties and privileges of exploring, exploiting, winning and obtaining petroleum whether lying onshore or offshore of Malaysia. 

Star: Petronas misses point – its ownership and responsibility

“Petronas is irresponsible and misses the point when it acted as if it is the sole custodian of Malaysia’s oil and gas resources.” said Datuk Dr. Jeffrey Kitingan, STAR Sabah Chief, in response to Petronas’ statement that Petronas cannot afford to increase the cash payment to 20% to the oil-producing States as offered by Pakatan Rakyat.

The federal government is also irresponsible in using Petronas as its mouth-piece to reject the claims of the oil-producing states for increases in the cash payment from the current 5%.

The federal government and Petronashas totally ignored the fact that the oil and gas resources belonged to the states, Kelantan, Terengganu, Sabah and Sarawak, in the first place.  It did not belong to the federal government and definitely not Petronas.

STAR: Golden Opportunity for Sabah/Sarawak to Demand New Oil Deal

Sabah STAR's chairman, Dr Jeffrey Kitingan
“The Sabah government should take this golden opportunity to demand and sign a new and better oil agreement with Petronas and the federal government” said Datuk Dr. Jeffrey Kitingan, Chairman of STAR Sabah in response to the statement given by the Chief Minister that the State’s 5% petroleum royalty review issue is open for amicable discussions with the federal government.

“If the Chief Minister is truly a Sabahan at heart, this is the most opportune time to not only seek a review but to demand and negotiate a new deal for Sabah’s oil and gas resources for the benefit of Sabah and its future.  It cannot be denied that any increase in the oil revenue including the offer of 20% by Pakatan Rakyat is definitely for the benefit of Sabah and Sabahans” added Dr. Jeffrey.

Theold oil agreement is nearly 4 decades old and a new oil deal is certainly needed for the future of Sabah.   The so-called review will also test the sincerity of the federal government and the Sabah leaders as well as the extent of the federal-state relationship.

Star: Rich Sabah poorest state in Malaysia a paradox

KOTA KINABALU: Sabahans know the difference between wealth and poverty and they don't need former Prime Minister Mahathir Mohamad, who "squatted" on them for 22 years and Petronas, to "insult their intelligence on the difference between the two situations".

That's the challenge from the State Reform Party (Star) on Mahathir's take in the local media on Wed forecasting Sabah will be the richest state soon in Malaysia in terms of natural resources.

Star Decries Attempts To 'Belittle' Jeffrey's

KOTA KINABALU: The State Reform Party (Star) is not amused by Sukau State Assemblyman, Saddi Abdul Rahman's alleged attempts to 'belittle' party Chief, Jeffrey Kitingan's political struggle for Sabah and Sarawak all these years.

"Saddi is indulging in the politics of distraction and disruption by harping on Jeffrey moving from party to party before finally settling on Star," said a Star Deputy Chairman, Daniel John Jambun. "Saddi even had the cheek to suggest that Jeffrey will eventually abandon the first party he has ever headed in his life."

Petronas should repay PTPN study loans by Sabahans, demands new NGO

KOTA KINABALU: A new citizen movement that has demanded that oil royalty for Sabah should be at least 70 percent, Oil for Future Movement (OFF), now wants state-owned Petronas to repay all study loans from PTPN (National Higher Education Fund Corporation) by Sabahan students.

OFF chairman, Phillip Among, said thousands from Sabah who had loaned study aids from the government-controlled PTPN have become victims instead of the scheme when they could not find jobs for courses taken under the PTPN loan.

Will Sabah BN/PR Ask for 50% Oil Royalties

Dr. Felix Chong
“Will Sabah DAP lead Sabah Pakatan and ask for 50% oil revenue for Sabah and more particularly demand for 50% if and when Pakatan forms the next federal government” asked Dr. Felix Chong Kat Fah of STAR Sabah.

“Similarly, will the Sabah BN ask for 50% of the oil revenue for Sabah?”

“As part of STAR Sabah’s causes and aspirations for Sabah, STAR is seeking an increase of the oil revenue to 50% nett revenue. It is set out in STAR’s Petroleum Masterplan which is comprehensive and covers a wide range of policies for Sabah’s oil and gas beneficial to Sabah and Sabahans.”

Our oil and gas belongs to us, not KL

By Daniel John Jambun
The way I look at it, the Prime Minister, Datuk Seri Najib Razak, has handled the issue of increased oil royalty very poorly, judging from the way he made his remarks in Putatan on Thursday.

He simply said that (1) The demand for increased royalty is just an opposition gimmick, (2) It is another empty promise of the opposition, (3) 20% or even 50% royalty doesn’t make economic sense because at this level of royalty, allocations to Sabah would have to be cut, (4) “Even their promises in the last election haven’t been fulfilled,” (5) The opposition is also promising to reduce petrol prices. These are very old and boring rehashed answers which are easy to rebut: The demand for increased oil royalty is not a gimmick but something which will definitely be implemented when BN loses Putrajaya, so it won’t be an empty promise when we win the election, and it makes a lot of economic sense for Sabah, Sarawak and Terengganu because with that level of royalty we won’t even need anymore federal allocation. The allocations we are getting today are in fact just crumbs compared to the huge amount we are giving to the Federal Government every year, and that is on top of the billions of annual taxes collected from Sabah. We haven’t fulfilled our promises in the last election because we didn’t take over Putrajaya yet. How does Najib think we can implement something which we promised “if the people vote BN out”? In fact it is the BN which failed to fulfil a lot of promises and created a lot of mess since coming to power so long ago. I have listed these in my long list of scandals and wasteful abuses of the people’s money – by the hundreds of billions – published in online portals under the title “Najib should clarify financial scandals.” I am still waiting for a reply.

PM and Umno MP Confirms STAR/UBF Stand

By Dr Jeffrey Kitingan
The Prime Minister’s statement on the oil payment while in Sipitang and the concerns voiced by the Kota Belud Member of Parliament on oil payment and development funds proves and re-affirms the stand by UBF and STAR Sabah that representatives of Peninsular parties and Sabah BN components cannot fight for the rights of Sabah.

The PM’s explanation on the increase of oil payment totally missed the point.

What if Sabah and Sarawak did not agree to form Malaysia in 1963 and today Malaysia (or Malaya) is not entitled to the oil revenues from Sabah and Sarawak? What then for Peninsular states’ development funds without the oil revenues from Sabah and Sarawak?

New movement demands 70% oil royalty for Sabah and Sarawak

By Ezra Haganez
KOTA KINABALU: A new citizen movement has demanded that oil royalty for Sabah should be at least 70 percent and not below to compensate the losses Sabahans incurred under a mere 5% royalty all these years.

Oil for Future Movement (OFF) chairman, Phillip Among, said on top of that oil royalty for Sabah must be backdated to 1976 and a statutory 8 percent interest per annum should be paid.

EPISODE 1: How East Malaysia and Terengganu were robbed of their wealth

In 1973, Barisan Nasional was launched and PAS became part of the federal government. In 1974, the new ruling coalition in Parliament (where all the opposition parties except DAP were now members of) passed the Petroleum Development Act and the oil and gas were transferred from the states to the federal government, meaning Petronas.

THE CORRIDORS OF POWER

Raja Petra Kamarudin
Give or take, give and take, they are both four letter words, just as Umno is (pun intended). Nevertheless, we can expect Umno to be confused about when to use the word ‘give’ and when to use ‘take’. However, Pakatan Rakyat too?

As Julius Caesar said, “Et tu Brute?”

Sabah’s Opposition Divided Over Oil

By : JOE FERNANDEZ
THE OIL royalty issue took centre stage during Chinese New Year, with Anwar pledging 20 percent if Pakatan comes to power, Jeffrey demanding 50 percent while there also those pushing for 70 percent.

Mere hours before Opposition Leader Anwar Ibrahim flew into Kota Kinabalu for a PKR Chinese New Year gathering, Jeffrey Kitingan issued a policy statement on the federal government’s payment of oil royalty to the oil states.

STAR: Petroleum Masterplan - Sabah Oil Resources Belongs to All Sabahans

State Reform Party
"Sabahans will enjoy cheaper petrol, diesel and gas products, lower electricity rates and enjoy annual grants generated by a new Sabah petroleum corporation under STAR’s Petroleum Masterplan” announced Datuk Dr. Jeffrey Kitingan, STAR Sabah Chief.

“STAR‘s Petroleum Masterplan for Sabah oil and gas resources is based on the vision “Sabah Oil and Gas Resources Belongs to All Sabahans”.

UBF: Petroleum Fund Better than Nothing But Not the Right Solution

Sabah only get 5% share of its oil production
while peninsula getting the most

By Edward Linggu
TAMPARULI: The proposed Petroleum Fund for Sabah suggested by Pakatan Rakyat is not the only right solution for Sabah.

Obviously, the Petroleum Fund is better than nothing under the BN Government, there are better ways to ensure the Government and people of Sabah benefit from its oil resources.

Although there have been reports of new oil and gas finds off the coast of Sabah including its inner waters and the inking of the RM37 billion joint venture by Petronas a few days ago, it has to be remembered that Sabah’s oil and gas resources are a depleting resource.

Sabah should get a higher oil royalty

KOTA KINABALU, Nov 25, 2011: The State government should continue to demand for a higher petroleum royalty from the Federal government, said Luyang State Assemblywoman, Melanie Chia.

Speaking at the State Legislative Assembly on Wednesday while debating on the State Budget 2012, Chia fervently asserted that this was only appropriate and fair to the people of Sabah, in view of Sabah's significant contribution to the nation's coffer.


Why No Ag Report On 5% Royalty?

The total number of existing oil wells in Malaysia until 31st of March, 2011 is 117 oil wells, and all are in operation and producing crude oil. There are altogether 15 oil wells in the Sabah and the produce from these oil wells all belonging to Sabah. The total extraction of oil from the 15 Sabah oil wells is as much as 192,000 barrels per day.

This was a question recently raised by the Kota Kinabalu Member of Parliament Hiew King Cheu in Parliament. The answer given by the Prime Minister Dato’ Seri Najib Tun Razak is very important to the Sabahan who like to know how much crude oil is being produced in Sabah, and by how many barrels per day.


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