Rapid progress for Petronas


Mohd Yazid:

KUALA LUMPUR: The land for the development of Petroliam Nasional Bhd’s (Petronas) Refinery and Petrochemical Integrated Development (Rapid) project in Johor has come under state ownership.

This has effectively paved the way for Petronas’ RM89bil project, which is the key driver to the success of the multi-billion-ringgit Pengerang Integrated Petroleum Complex (PIPC), to proceed according to plan, according to Johor Petroleum Development Corp Bhd (JPDC) chief executive officer Mohd Yazid Ja’afar.

“Land acquisition for the project is the responsibility of the state government,” he said.

“As far as we are concerned, the land for the project now already belongs to the state government,” he told a media briefing, adding that JPDC had never been not involved in the land acquisition process for any part of the PIPC project.

JPDC, a unit of the Performance Management Delivery Unit, is an agency tasked to coordinate the development of the ambitious PIPC project. The PIPC project, which is aimed at turning Johor into a regional oil and gas (O&G) hub, will encompass a land area of 22,000 acres.

It will house several O&G-related industries such as refineries, and petrochemical and liquefied natural gas terminals, including Petronas’ Rapid project.

Borang K has already been served (to all previous landowners), and under the Land Acquisition Act (1960), when it is served, signed and received, the land will go back to the state,” Mohd Yazid explained.

In any case, he said, the lawsuits pertaining to land acquisitions for the PIPC project would only be on the quantum of acquisition prices, and not ownership, and hence, they were unlikely to hinder the progress of the project.

According to Mohd Yazid, the project is already progressing as planned, with PIPC likely to secure an investment worth RM27bil from a potential investor to set up a refinery plant. He revealed that the potential investor, comprising a consortium of companies, was expected to make its final investment decision on its refinery project in PIPC by the third quarter of 2015.

Mohd Yazid did not disclose the names of the companies involved in the consortium.

He said the potential investor would specialise in petroleum and aromatic products. The project by the potential investor would take up 2,000 acres of PIPC.


   

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