From a Singapore Angle

From ABC Radio Australia (Feb 28):

The Indonesian government has sent a formal protest note to Malaysia for granting energy giant Shell a concession to explore for oil in an area claimed by Jakarta...Jakarta says the area is part of its territorial waters.

Foreign ministry spokesman Marty Natalegawa says the concession was granted by Petronas based on a map Kuala Lumpur had unilaterally drawn up in 1979. He says Indonesia and other Southeast Asian countries have complained about the map.

From AFP via CNA (Mar 2), "Indonesia sends warships to waters claimed by Malaysia":

JAKARTA : Indonesia has dispatched three warships to a maritime border area also claimed by Malaysia amid rising tensions in the Sulawesi Sea. The warships were now in the disputed area off the coast of Malaysia's Sabah state and the Indonesia's East Kalimantan province, Navy Spokesman First Admiral Abdul Maliki Yusuf told AFP. A fourth ship will leave for the area later Wednesday, Yusuf said, adding that the navy was also considering sending a submarine to the area...

Yusuf also said he has received a report that a Malaysian military plane flew over Indonesia's territory.

From AP via ST (Mar 5), "Jakarta claims KL violated airspace":

JAKARTA - INDONESIA complained yesterday that four Malaysian military aircraft had violated its airspace in the past 10 days, as tensions between the neighbours brewed over an oil field they both claim.

The latest incident occurred on Thursday, when a Beechcraft plane allegedly flew over the region for 10 minutes, navy spokesman Colonel Marsetio told the state-run Antara news agency. It was the fourth time that a Malaysian aircraft had flown into Indonesian territory in the past 10 days, he said. 'Their Beechcraft was seen from a close distance by our fleet,' he said.

From AFP via CNA (Mar 5), "Indonesia, Malaysia agree to joint naval patrols in disputed waters":

JAKARTA : Indonesia and Malaysia agreed on Saturday to conduct joint patrols of a disputed maritime border, an Indonesian navy commander said amid rising tensions over an oil concession in the area.

"We decided to conduct joint patrols to avoid provocative actions," Colonel Marsetyo told Elshinta radio.

From ST (Mar 7), "Row between Jakarta and KL escalates--KL protests against ship intrusion; Jakarta orders military to make presence felt in disputed waters", by Salim Osman, Indonesia Correspondent:

East Kalimantan naval commander Marsetio said tensions rose after a Malaysian warship, the KD Kerambit, accused an Indonesian naval vessel, the KRI Rencong, of intruding into Malaysian waters near Karang Unarang island on Saturday. But the crew of KRI Rencong, which was patrolling the area, told the Malaysian vessel by radio that it had entered Indonesian territory. An argument over the sovereignty of the waters ensued and the Malaysian vessel decided to move away as the Indonesian vessel gave pursuit...

Malaysian Foreign Minister Syed Hamid Albar disclosed yesterday that Kuala Lumpur had sent a protest note to Indonesia because an Indonesian vessel had encroached nearly eight nautical miles into Malaysian territory through Batuan Unarang waters near Pulau Sebatik in the Sulawesi Sea...

In Jakarta, Indonesian Air Force chief Joko Suyanto said four F-16 fighter jets would be mobilised to patrol the area 'not to provoke but as back up to our naval forces there'...

The powder keg:

[N]ationalist sentiments were being whipped up here with demands for another 'crush Malaysia campaign', reminiscent of the one launched by the late President Sukarno in 1963 following the formation of the federation.

A movement which called itself Front Ganyang Malaysia was set up by politicians in Makassar, South Sulawesi, who accused Malaysia of hurting the pride of the people of Makassar and denigrate the unitary state of the republic.

In a statement, the group called on Jakarta to sever diplomatic ties with Malaysia and deploy its military forces to stake a claim on the area.

An Indonesian MP, Permadi, in calling for an anti-Malaysia campaign, also said: 'After Sipadan and Ligitan, they now want to annex Ambalat.'

Developing...

UPDATE: More news in a new post.