KUALA LUMPUR: Malaysia is committed to defending Sabah’s sovereignty amid ongoing discussions with Indonesia over a disputed resource-rich maritime area in the Sulawesi Sea, Prime Minister Anwar Ibrahim said during a visit to Kota Kinabalu.
“We’ll negotiate properly, without compromising. Everything was discussed transparently during the meeting—not behind closed doors,” Anwar told the Malay Mail on Sunday (Aug 3), referring to the 13th Malaysia-Indonesia Annual Consultation held on July 29.
“I will protect every inch of Sabah. That’s my stand. I’m raising this now because the federal government is defending Sabah’s rights,” he said.
The two countries have overlapping claims to sea blocks ND6 and ND7—known to Malaysia as the Sulawesi Sea and to Indonesia as Ambalat.
During a prior meeting in Jakarta on June 27, Anwar and Indonesian President Prabowo Subianto agreed to explore a joint development approach for the contested zone. Optimism grew that both nations might finally resolve the longstanding issue, though no final agreement has been reached.
When questioned in Parliament on July 22 by Sabah MPs, Anwar confirmed that discussions are still ongoing and that no conclusive decision has been made.
Analysts told CNA that joint development remains a possibility, despite its absence from the official joint statement released after the July 29 consultation. The statement simply noted “continued progress” in maritime boundary talks and stressed the need for constructive engagement between both nations’ agencies.
Speaking after the meeting, Indonesian Foreign Minister Sugiono confirmed that talks are still in the explanatory phase. “There’s still a long way to go,” he said, noting that technical discussions will follow.
Adib Zalkapli from Viewfinder Global Affairs suggested that both sides may have intentionally left out specific references to joint development due to ongoing technical negotiations.
“Public statements can be counterproductive when the technical and commercial terms haven’t been finalized,” he said. “Domestic politics isn’t the primary hurdle—it’s the technical details and commercial arrangements.”
Despite the complexities, Anwar emphasised that the discussions demonstrate the strength of bilateral ties. “This is a boundary issue between friendly nations. President Prabowo is a personal and family friend. We want this to be resolved amicably,” he said.
Anwar added that he invited Sabah Chief Minister Hajiji Noor to attend the consultation to hear the discussions firsthand and offer his perspective. “We’ll negotiate within the framework of maritime laws and historical context. The outcome must be approved by Sabah’s state government and legislative assembly.”
Sabah’s Position
Hajiji, who attended the consultation along with other state officials, later clarified on July 30 that the Ambalat issue was not discussed in detail during the visit. “The meeting was generally positive, and discussions are ongoing,” he told reporters.
Deputy Foreign Minister Mohamad Alamin also assured Parliament that Sabah’s interests remain a priority. “The federal government is conducting thorough and inclusive assessments of all options, including economic cooperation,” he said.
According to geostrategist Azmi Hassan from the Nusantara Academy for Strategic Research, both countries appear to be maintaining the “status quo” as they continue to seek common ground. “Just like in the South China Sea issue, technical talks can proceed while the status quo is preserved,” he said.
He suggested that if boundary delineation proves difficult, a joint venture between Malaysia’s Petronas and Indonesia’s Pertamina may be a viable solution. “There’s a wealth of oil reserves there. Inaction would be a missed economic opportunity for both nations,” Azmi said.
The dispute is complicated by overlapping maritime boundaries and sovereignty claims over Pulau Sipadan and Pulau Ligitan. In 2002, the International Court of Justice awarded both islands to Malaysia, but maritime borders remain unresolved.
Previous incidents have heightened tensions, including a 2004 concession awarded by Petronas to Shell that overlapped with a license Indonesia gave to Italy’s Eni. In 2009, Indonesia protested Malaysia’s military presence in the area, and a year later, near-conflict occurred when Indonesian navy ships threatened to fire on a Malaysian patrol vessel.
Azmi noted the dispute has lingered for years, but Anwar’s close relationship with Prabowo could improve the chances of resolution. “Anwar’s mention of joint development may have been premature or a way to gauge reactions,” he said.
Adib added that while leaders are typically expected to resolve key issues before such summits, it’s not uncommon for unresolved matters to remain on the table. “This meeting could be a step closer to finalizing a deal,” he said. “When both sides clearly see the economic benefits, a resolution tends to follow quickly.”
