Malaysian offshore activity is a substantial industry as virtually all the exploitation and extraction of petroleum including gas reserves is conducted in the foreshores and submarine areas of the territorial sea and continental shelf areas claimed by Malaysia.
The entire ownership and the rights to all petroleum and gas in these offshore areas are vested in the national oil corporation PETRONAS which issues licences and enters into agreements with contractors for the exploring, prospecting or mining of the resources under the Petroleum Mining Act 1966 (Act 95). Minerals other than petroleum and gas on the seabed come within the Minerals Development Act 1994 though activity presently is not significant.
Bintulu and Asean Supply Base in East Malaysia and Kemaman in West Malaysia are specialised ports servicing the off shore oil and gas industry in their regions. All ship services relating to the off shore oil and gas industry are licensed cabotage activities.
The Firm regularly advices and acts for clients engaged in the off shore oil industry in matters ranging from matters concerning oil rigs, FPSOs, support services, contract disputes as well as casualty incidents in the off shore maritime zones of Malaysia.
The information herein is for general guidance only, may have been superseded, circumstances may have changed and should not be relied upon for action. This does not in any way represent or replace professional legal advice which in each and every case must be obtained.