Singapore, 1 February 2026 – Malaysian authorities detained two crude oil tankers and seized more than 512 million ringgit (approximately $129.9 million) worth of crude oil last week in waters off Penang, in a crackdown on illegal ship-to-ship oil transfer activities, the Malaysian Maritime Enforcement Agency (MMEA) said on Saturday.
According to MMEA, the tankers were found anchored about 24 nautical miles west of Muka Head, a known maritime area where unauthorised ship-to-ship transfers often take place and can be used to obscure the origin of oil shipments.
During an inspection triggered by a routine patrol report, enforcement officers discovered the two vessels moored alongside one another and suspected of conducting illegal transfer operations, prompting their detention for further investigation.
The crude oil onboard is valued at over RM512 million, and the combined value of the two tankers is estimated at RM718 million. The vessels collectively carried 53 crew members drawn from China, Myanmar, Iran, Pakistan and India. The MMEA detained the two ship captains, handing them over to the Penang state maritime investigation officials for processing under relevant maritime laws.
Maritime Captain Muhammad Suffi Mohd Ramli said the case is being investigated on charges related to anchoring without permission, a violation that carries financial penalties, alongside the illegal transfer activities, which also carry statutory fines.
The enforcement action follows Malaysia’s earlier pledge to strengthen enforcement against illicit oil movements in its territorial waters, reaffirming authorities’ commitment to maritime security and legal compliance in the energy sector.
