Pulau Labuan is an island off Sabah's west coast, located 140km south of KK opposite the Klias Peninsular near the borders of Sarawak and Brunei. A Federal Territory of Malaysia along with Kuala Lumpur and Putrajaya, Labuan is also known as the 'Pearl of Borneo' - an international financial center and offshore support hub for oil exploration and extraction in the region.
The island's economic center is Victoria (Bandar Labuan), a small city and port that features duty-free shopping for alcholic beverages, cigarettes, chocolates and other goods. Labuan is connected by domestic flights and ferry from Jesselton Point (KK), but visitors can also take a speedboat or car ferry from Menumbok.