ABANG Johari Openg will on Monday disclose Sarawak’s next move in its dispute with Petronas over the state’s 5% petroleum sales tax, production-sharing and other arrangements regarding oil and gas.

The chief minister said he will reveal the details when tabling the state’s 2020 budget.

“Just wait for Monday,” he told journalists in Tabuan Jaya today, when asked about the matter following the expiry of the October 31 deadline Sarawak had given the national oil firm to conclude negotiations.

Petronas and the federal government refuse to pare down the 95% they take from the state’s oil and gas revenue, and Sarawak is demanding a higher oil royalty payment of 20%.

Additionally, Petronas refuses to pay the 5% sales tax imposed by the state government on its petroleum resources.

Other oil firms operating in the state, like Shell and Murphy Oil, pay the tax, which was implemented on January 1.

There have been calls for Sarawak to take Petronas and Putrajaya to court.

Prime Minister Dr Mahathir Mohamad last month said Pakatan Harapan’s election promise of increasing oil royalty payments for Sarawak and Sabah to 20% was not workable and could “kill” Petronas, the world’s third-largest exporter of liquefied natural gas.

In response, Sarawak Deputy Chief Minister James Masing said Dr Mahathir’s remarks showed up the PH government for its lies.

About 56% of Malaysia’s gas reserves are in Sarawak waters. – November 2, 2019.