Sabah must take direct role in its oil and gas or risk being sidelined, says Warisan

KOTA KINABALU: Sabah’s continued reliance on sub-contracting and concession distribution of its oil and gas instead of taking a more direct role is why the state lacks technical expertise and capital in the field, says Warisan.

The party’s information chief, Datuk Mohd Azis Jamman (pic), was responding to Sabah Finance Minister Datuk Seri Masidi Manjun, who said recently that the state was not ready to bid for oil blocks.

“If we claim we lack expertise, why not recruit and appoint true experts? Find and hire qualified professionals, not political loyalists whose only skills are to plunder and pander.

“And if Sabah has no experience, how will we ever gain experience if we never start?” he said in a statement on Wednesday (July 9).

Azis’s remarks followed Masidi’s statement at the state assembly on Tuesday (July 8), that Sabah International Petroleum (SIP) and SMJ Energy were not bidding for oil and gas blocks due to a lack of technical expertise and capital.

Masidi was referring to the Mutiara Cluster project off the coast of Sandakan, which was recently awarded to Dialog Resources Sdn Bhd, a wholly owned subsidiary of Dialog Group Berhad — a company based in Peninsular Malaysia.

Azis argued that the state could bring in talent from outside if needed, while ensuring local professionals learn alongside them.

“Every million starts with number one. Waiting forever keeps Sabah permanently at the margins of its own wealth,” he said.

On capital concerns, Azis pointed out that the state government had previously raised nearly RM1bil through a sukuk issuance to settle legacy debts, including vessel purchases whose current status is unclear.

“Don’t tell us it’s impossible to raise funds for SMJ Energy to participate in both upstream and downstream sectors,” he said.

He also suggested forming smart partnerships with credible investors while ensuring Sabah retains control over resource management.

Azis questioned whether PETRONAS’ early contractors were fully experienced when they were first appointed, arguing that Sabah too can build capacity through action.

“It’s ironic to hear about ‘kerja diam-diam tapi hasil ada’ when in reality, Sabah’s oil wealth still leaves our shores, and our people see so little,” he said.

Azis said the real question is not whether Sabah is ready — but whether its leaders are ready to stop political patronage and prioritise Sabah’s long-term interests.

“True leadership doesn’t wait for perfect conditions. True leadership means starting now — building expertise, controlling our resources, and ensuring Sabah finally benefits directly from the wealth beneath our own soil and sea,” he stressed.