East Malaysia (Malaysia Timur), also known as Sabah, Sarawak and Labuan (Sabah, Sarawak dan Labuan) or Malaysian Borneo, is the part of Malaysia located on the island of Borneo. It consists of the Malaysian states of Sabah, Sarawak, and Federal Territory of Labuan. It lies to the east of Peninsular Malaysia (West Malaysia), which is located on the Malay Peninsula. The two are separated by the South China Sea. While East Malaysia is less populated and less developed than West Malaysia, its land mass is larger and it has notably more natural resources, chiefly oil and gas reserves.