QINGDAO: China CAMC Engineering Co Ltd (CAMCE), China's state owned company, plans to build a power plant in Kedah through a cooperation with a Malaysian firm, KOSMO Group of Companies.
KOSMO Group Chairman, Marzuki Yahya, said the two companies had identified several areas for this venture but their main focus right now is more towards energy.
He said their collaboration was to look at the future development of Kedah and they find out that Kedah was the only state in Malaysia which does not have a power plant.
"That (energy sector) is the first step we are looking at..with a strong partner in CAMCE and back up strongly by the Bank of China. There will be some follow up on the project...when we can start the project," he told reporters after the signing of a memorandum of understanding (MoU) between the two companies here, Thursday.
The MoU were signed by Marzuki and KOSMO Group Chief Executive Officer Zulkifli Abdullah, and CAMCE Assistant President Liu Shengcheng.
The signing ceremony was witnessed by Kedah Menteri Besar Datuk Seri Mukhriz Tun Dr Mahathir.
Marzuki said for the power plant project, both companies were willing to come out with a US3 billion investment.
Meanwhile, Liu said besides energy, both parties were also interested to invest in several other sectors such as airport, highway, agriculture, infrastructure and food processing plant.
"Malaysia has a lot of opportunities for Chinese investors. As a state-owned company, we are encouraged by the Chinese government and some Chinese financial institutions to invest in Malaysia.
"We are also considering several other sectors, especially the very complete investment laws to protect investors. That's why we are vey much interested to invest in Malaysia," he said.
He said the Chinese government now encourages Chinese enterprises to invest in those countries under the same "road", as Malaysia is one of the important points along this road.
"This means that our government will give great support for overseas investment. We hope to get assistance and support from the Malaysian government so that our investment there would be successful," he said.- Bernama