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Labuan War Cemetary is situated at Jalan Tanjung Batu. 3,908 graves of soldiers who either died in battle or captivity during World War II lay here. Most of the soldiers were Australians and British with some from the Punjab Signal Corp, New Zealand as well as a few locals. A Memorial erected in the memory of these servicemen stands in the vicinity. The place was constructed, and is maintained by Commonwealth War Graves Commission.

The remains of the Allied troops were gathered from all over Borneo to be interred at the Cemetery. The graves lie in long neat rows all bearing a plaque, mostly bearing identification, but many doesn't have any identification and are just marked with the phrase 'Known unto God'. The Labuan War Cemetery and Memorial is visited very regularly by War Veteran groups, especially from Australia who have included Labuan as an important destination on their battle-field tours circuit. A special service is held on the first Sunday of November every year, to mark Remembrance Day and is attended by locals and foreign visitors. The lawns at this cemetary are beautifully kept and visitors can appreciate the peace and tranquility of the place as they seek to understand the senselessness of the deaths of so many brave young men.

The War Cemetary is located near the golf course, about 2km east of Labuan town, along Jalan OKK Abdullah. For more information, please contact the Labuan Tourism Action Council office at 6087-422622.