18 Best Things To Do In Labuan, Malaysia

Known for its World War II historical sites, sandy beaches, duty-free shopping and shipwreck dive sites, she is the “Pearl of Borneo”, also known as Labuan. This island is situated around 10km off the northwest coast of Borneo and is the main hub for deep water oil and gas activities in the region. Labuan is also a Federal Territory of Malaysia and the only international Business and Financial Centre (IBFC) in the region.

Relax at Palm Beach Resort – Labuan

Located between Brunei and Sabah, Labuan consists of 7 islands; Bird Island (Burung Island), Daat Island (Pulau Daat), Kuraman Island (Pulau Kuraman), Labuan Island (Pulau Labuan), Papan Island (Pulau Papan), Big Rusukan Island (Pulau Rusukan Besar) and Small Rusukan Island (Pulau Rusukan Kecil).

Labuan Island – veroalex

Labuan Map

If you haven’t read our previous post on Labuan, we highly recommend you to check it out. Since Labuan has a tropical climate, there are only 2 seasons throughout the year, the wet season (October – February) and the dry season (March – September).

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Since Labuan is a small town, you can get around by foot, bus or taxi. Another option would be to rent a car/bike at the airport/ferry terminal. In our opinion, we suggest you to either rent a car/bike or just take the ride-hailing service (Grab) while you are here as the public transportation here isn’t as frequent and efficient.

Taking the ferry to Labuan Island

So getting that out of the way what are the 18 Best Things To Do In Labuan, Malaysia?

1. Dive at the 4 famous shipwrecks + Newly discovered site

If you are a diving enthusiast, you definitely need to check out the 4 famous shipwrecks in Labuan. Whether you’re just starting out or an experienced diver, these dive sites are suitable for all. Among the 4 shipwrecks here, 2 of them originate from World War II and the other 2 originate from the 1980’s.

4 famous shipwrecks in Labuan locations

The American Wreck

Located South-East of Rusukan Kecil Island, 24km from Labuan
Used to be a US Navy Minesweeper until it struck a mine in 1945
A plaque listing the 9 sailors which lost their lives can be seen here
See the remains of the canon artefacts, depth chargers and bullet clips at the shipwreck
Requires a wreck diver experience to dive here

American Wreck – Labuan

The Australian Wreck

Located South-West of Rusukan Besar Island, 23 km from Labuan
Used to be a Dutch cargo and passenger steamer until it struck a mine in 1940
339 people lost their lives (mostly workers and prisoners)
It is believed to be haunted by the tortured souls. Don’t take our word for it – dive here and find out for yourself!
Good place for underwater photography

Requires a wreck diver experience to dive here

Australian Wreck – Labuan

The Blue Water Wreck

Located North-East of Kuraman Island, 34 km from Labuan
Used to be a Philippines fishing trawler, which caught fire and sunk in 1981
This wreck is the only one still intact and has the best visibility compared to the others
Requires advanced diver experience

Blue Water Wreck – Labuan (Image credit: oceanicquest)

Blue Water Wreck – Labuan

The Cement Wreck

Located East of Kuraman Island, 21 km from Labuan
Used to be a cement freighter for Brunei until it hit the Semerang Bank and sunk in 1980
This site is one of the world’s most colourful wreck and the easiest to navigate
Ideal for beginners training for wreck diving

Cement Wreck – Labuan (Image credit: oceanicquest)

Cement Wreck – Labuan (Image credit: oceanicquest)

Vernon Banks (Newly discovered)

Located over 40 nautical miles North of Labuan
Has a underwater atoll with various levels and a 5m crater at the centre
Only a small area has been explored
Potential to be one of the best dive spots in the world

Divers exploring the Vernon Bank Scuba Dive Site – Labuan

Discovering new corals and starfish at Vernon Bank Scuba Dive Site – Labuan

2. Visit the Labuan International Sea Sport Complex

This sports complex is a must visit for water sports fans as various major events are held here annually, such as Cross Channel Swimming Challenge, Kayak Sprint, Round Island Kayak Challenge, Labuan International Fishing Tournament and Malaysia Water Festival.

Kayak Challenge – Labuan International Sea Sports Complex

Also located here is the Labuan Marine Museum which was built to resemble a ship. At the marine museum, you will be able to see over 14 aquariums and a touch pool consisting of various sea creature such as black tip shark, sand shark, eel, king crab, starfish and stingrays. Among the popular attractions here are the preserved Dugong and a 12m long skeleton of a baby finback whale which was found washed up on the Malacca shores in 1892.

Labuan Marine Museum

For those who are going for a dive in Labuan, the lower level gallery is definitely a good place for you to check out as the information section here shows the details and facts of the 4 popular shipwrecks in Labuan (American Wreak, Australian Wreak, Blue Water Wreak and Cement Wreak).

Check out the 4 popular shipwrecks in Labuan

3. Visit the Labuan War Memorial Park

Located at Tanjung Batu (4km away from the airport), this memorial park is where the perished heroes of the Commonwealth World War II are buried. Over 3,900 soldiers from various countries such as Australia, British, India, Malaysia and New Zealand, lay here in rows of plaques and given a white headstone to serve as a memorial for their loved ones.

Labuan War Cemetery

Neat plaques and flowers for each soldier – Labuan War Cemetery

To commemorate the fallen heroes, an annual event “Remembrance Day” is held annually by the Labuan Tourism Council. The “Remembrance Day” also known as “Anzac Day” or “Poppy Day” in other countries, falls on the 11th November every year.

Memorial site for the Commonwealth World War II military

4. Discover the mysterious Chimney Tower

Constructed back in the 19th century, this chimney has be been a controversial topic for many people over the decades. As the chimney does not have any traces of smoke, there were many claims on what the chimney was originally used for. Quite a number of folks claim that the chimney was either a light house, a bell tower signalling for arriving ships or an unfinished mansion.

Discover the mysterious Chimney Tower – Labuan

Inside the chimney – Chimney Museum

We met up with a local guide, who debunked all the myths of the chimney. According to the guide, the chimney was actually part of a brick factory’s furnace system and was the only structure left untouched after the rest of the factory demolished over time. Standing at over 32m/106ft, this unique chimney was made from 23,000 red bricks which were imported from Britain.

Imported bricks for the Chimney Tower

Next to the chimney tower is the Chimney Museum

which was built to showcase Labuan’s coal mining history in 1842. The 2 storey Chimney Museum, boasts a collection of over 612 artefacts which includes ancient coal, geological rocks and mining equipment.

Chimney Museum

Inside the Chimney Museum gallery

Coal mining wax figures – Chimney Museum

5. Explore the underground tunnels of Tanjung Kubong

Situated at the northern tip of Labuan Island is Tanjung Kubong, a historical coal mining site and an important landmark for Labuan. The mine here started its operations in 1847 and consists of an extensive underground tunnel network, deep wells and a 12km long railway track to ease the coal transportation to Victoria Port.

One of Tanjung Kubong tunnels

Unfortunately, the British mining operations had to cease operations in 1911 due to countless tragedies which occurred in the mines. Since the mines were huge, the workers had to be lowered in baskets to a depth of over 100ft under ground just to look for coal. One day, as the workers were busy digging, they were urged to push further on and soon lost track of time. As they had no way of knowing the water levels of the sea, a huge tide filled all the tunnels with seawater trapping them underground. Their bodies was discovered floating in the sea a few days later.

Illustration of how the coal miners descended the 100ft deep mines (Image credit: Getty)

Illustration of coal mines transporting coal – Tanjung Kubong Labuan

Today, you will be able to see the remains of the tunnels, rail tracks and pieces of cables scattered here. If you are a thrill seeker, you might consider going down 1 of these 8 tunnels to explore the coal mining sites. There is also a nearby 10ft wide, 100ft deep well which you can try if this excites you. At the bottom of the well, you will be able to discover the vast underground tunnel system. Do take note that a large portion of the tunnel is still unexplored, so please take extra precaution if you are exploring the tunnels.

The tunnels here are still largely undiscovered (Image credit: researchgate)

6. Visit Labuan Square

Labuan Square (Dataran Labuan) is one of the most popular landmarks on the island. Located in downtown Labuan, this square consists of a football field, a park and an open air stage which is used to hosts major events and festivals such as Independence Day and Malaysia Day. At the centre of the square, you will see the flags of Malaysian states neatly arranged in a semi-circle pattern.

Labuan Square

Next to the square, you can also see a replica of the mysterious chimney tower. The park here is also a popular spot for locals to go for walks or have their picnics by the beautiful garden and fountains.

Replica of the chimney tower – Labuan Square

Hot Air Balloon Festival – Labuan Square

7. Go on a Duty-free shopping spree

Similar to Langkawi and Tioman Island in West Malaysia, Labuan is a duty-free island, which means cheaper tobacco, alcohol and chocolates for you. Among the places which you can find the duty-free items are; Jalan Merdeka/Jalan OKK Awang Besar area (near the ferry terminal), Financial Park mall, Labuan Airport and Labuan Ferry terminal.

Compare prices to get the best deal in town

Before you go on a shopping spree, do note that the prices for the duty-free items vary from shop to shop. So you will need to do a bit of surveying if you want to get the best deal in town. A walk in town will find you many smaller retail shops offering better discounts than at the mall, so be sure to check them out as well.

Eat and drink as much as you like in Labuan

You can consume as much alcohol as you like in Labuan, however you can only bring back a maximum of 1 Litre of Liquor and 1 crate of beer (24 cans). If you do exceed the limit, you won’t have your goods confiscated, but you will be charged customs duty on each of the excess goods you carry.

Free tasting event at one of the duty-free shops

Games of Thrones limited edition bottles – Labuan

8. Discover the World War II landmarks

Situated on the Western side of the island is Surrender Point, the most important landmark in Labuan. It marked the end of the residents struggle during the World War II in Labuan and signifies a fresh new start for the island.

Labuan’s historical landmark – Surrender Point Labuan

It is at this small wooden shed here is where the Japanese officially surrendered their ruling over Labuan (in 1945) to the Australian in charge. It is believed that after the surrender, the Japanese soldiers performed a mass suicide ritual known as hara-kiri, along the beach.

Surrender Point Memorial Labuan

9. Visit the historical Peace Park

Just beside Surrender Point is the Peace Park, which was built to pay tribute to the fallen heroes during World War II. This park signifies the end of the war and marked the beginning of Malaysia and Japan friendship.

“Peace is the best” inscription on the stone at Peace Park Labuan

Peace Park Labuan

10. Visit the Patau-Patau Water Village

If you have never been to a water village, then you should add Patau-Patau Water Village to your list. Being made out of only wood, these colourful villages are home to mostly fisherman. Instead of a street full of cars, you will see rows of boats all lined up in front of the water village.

Patau-Patau Water Village

To get to each house, you will have to walk on the long interconnecting walkway. If you want a more memorable experience, why not spend a night here at any one of the homestays at the village. While you are here, you can also interact with the friendly residents who would gladly give you a house tour and share more on their culture and lifestyle.

Patau-Patau Water Village

11. Go island hopping

If you have more time to spend in Labuan, why not go island hopping and explore all the 6 gorgeous islands here. Before going on a trip to the islands, you can make your enquiries at the Labuan Tourist Information Centre (located north of Labuan Square) or the Marina Labuan to find out more on their packages.

Explore Labuan’s hidden gems

During your boat ride to the island, you may pass by some fisherman in canoes selling their fresh catch (fish, lobsters, prawns, squids or crabs). If you manage to purchase the fresh seafood, you can have a BBQ and picnic on the island with uninterrupted view of the ocean. You can also camp, hike, swim and snorkel on the islands here.

Buy fresh seafood from the fisherman

The most popular tours are to the Labuan Marine Park (Taman Marin Labuan) which consists of the 4 shipwreck diving sites and the 3 stunning islands – Kuraman Island (Pulau Kuraman), Big Rusukan Island (Pulau Rusukan Besar) and Small Rusukan Island (Pulau Rusukan Kecil). These islands are accessible via a 30-40 minutes boat ride from Labuan Island.

Labuan Marine Park map

12. Visit Kuraman Island (Pulau Kuraman)

Being the biggest island (363 acres) in Labuan Marine Park, the Kuraman Island is made up of 2 main beaches and a long, narrow sandspit which leads into the mesmerising ocean. There is a small fishing village with a few stalls on the island for you to replenish your hunger.

Kuraman Island/Pulau Kuraman sandspit leading into ocean

Diamond shape island – Kuraman Island/Pulau Kuraman

13. Visit Big Rusukan Island (Pulau Rusukan Besar)

The Big Rusukan Island, covers an area of over 30 acres and is the most developed island among the 3 islands of the Labuan Marine Park. There is only 1 resort on the island, the Rusukan Besar Resort which provides all the basic necessities during your stay. This is the perfect getaway for those who wants complete peace and serenity.

Circle this island in half an hour! – Big Rusukan Island/Pulau Rusukan Besar

Walkway to the island – Big Rusukan Island/Pulau Rusukan Besar

The bright pink Rusukan Besar Resort – Labuan

Among the activities which you can do here are; kayaking, snorkelling, relaxing by the tiki bar/beach, visiting the tree house or taking a half hour walk to circle to entire island. There is also a information centre here which consists of a gallery and marine conservation awareness for the public.

Big Rusukan Island/Pulau Rusukan Besar rules for tourists

At night, you may even get the chance to see “blue tears” along the beach. These blue tears are actually bright blue bioluminescent planktons which are washed up ashore. There is also a turtle hatchery site on the island which is open for volunteers and visitors to explore.

The exquisite sight of “blue tears” along the beach

14. Visit Small Rusukan Island (Pulau Rusukan Kecil)

Located between Kuraman Island and Big Rusukan Island, this is smallest among the 3 and covers an area of only 7 acres. Made up of lush greenery and crystal clear waters, this island has many secluded beach spots for you to explore. Since this island faces the South China Sea, it does encounter huge waves making it less suitable for swimming and fishing activities.

Small Rusukan Island/Pulau Rusukan Kecil

Go island hopping here – Small Rusukan Island/Pulau Rusukan Kecil

Huge waves at Small Rusukan Island/Pulau Rusukan Kecil

15. Visit Papan Island (Pulau Papan)

Located South-East of Labuan Island, is the gorgeous Papan Island. This island is a 5 minutes boat ride from the mainland and a popular hotspot for weekend beach parties and mini music festivals. There are plenty of activities to do here, whether its relaxing by the beach or trying out the extreme water sports. You can also stay the night here at the rows of chalets for those who can’t get enough of this island’s mesmerising views.

Papan Island/Pulau Papan

Papan Island/Pulau Papan beach entrance

Stay a night a Papan Island/Pulau Papan chalets

16. Explore Burung Island and Daat Island

These 2 islands are inhabited and rarely visited. You can make a special arrangement to visit this islands, however keep in mind that there is nothing much to see here.

Burung Island/Pulau Burung – Labuan

Daat Island/Pulau Daat – Labuan

17. Get the best sunset views at Layang-Layang Beach

Located near to Surrender Point Memorial & Peace Park, this beach is definitely a “must visit” whenever you stop by Labuan. Facing the South China Sea, Layang-Layang Beach is one of the most beautiful beaches on the island. As the beach is not developed yet, it is not known to many and appears to be quite deserted. So, if you’re looking for some peace and quiet, then Layang-Layang Beach is for you.

Beautiful sunset views – Layang-Layang Beach

Layang-Layang Beach

18. Learn about Labuan’s historical events at Ramsey Point

Being the landmark of 2 major events in Labuan’s history, is Ramsey Point which may look like an ordinary observation tower at first glance. Dig a little deeper and you will learn that is the place where the Sultan of Brunei presented the British control over Labuan in 1846 as gesture for their alliance.

Ramsey Point – Labuan

A century later, Ramsey Point once again went into spotlight as it was used as a landing point to liberate Labuan from the Japanese Forces during the World War II.

Ramsey Point – Labuan

Have any experience or tips on travelling in Labuan? Or are you planning a trip soon? Let us know and share your thoughts and questions in the comments section. We’d love to hear from you!

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