Oil royalty: Some issues need to be discussed with Federal Govt, says Kelantan MB

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KOTA BHARU (May 21): The Kelantan Government hopes that its oil royalty lawsuit against Petroliam Nasional Berhad (Petronas), which has been withdrawn, will be fully settled soon.

Menteri Besar Datuk Ahmad Yakob said the matter should have been settled by now, but due to some technical issues, it had not.

He said the issue with Petronas had been settled but with the Federal Government, which is an intervenor in the suit, there were some issues that needed to be discussed.

"We have dropped the suit and will not file it again and it is considered settled.

"The only thing left is regarding the Federal Government and we were informed by the State legal advisor that ‘several discussions’ need to take place," he told reporters after chairing the weekly State Executive Council meeting at Kota Darul Naim here today.

The suit brought by the Kelantan Government against Petronas over its oil royalty claim, nine years ago, has finally been settled after the State Government withdrew it on May 13.

However, the withdrawal of the suit is only permissible if Petronas agrees with the action.

Ahmad said the State Government would wait for the decision because the matter could only be decided by the court.