Tanco signs two agreements for Port Dickson smart AI container port project


KUALA LUMPUR: Tanco Holdings Bhd has signed two agreements for its proposed Smart AI Container Port in Port Dickson, Negeri Sembilan, involving strategic cooperation and the supply of key construction materials.

In a filing with Bursa Malaysia, Tanco said its 79 per cent-owned subsidiary, Midports Holdings Sdn Bhd (MHSB), has entered into a memorandum of understanding (MOU) with China's SPG Qingdao Port Group Co Ltd (SQPG) to explore cooperation on the proposed port project and related fundraising efforts.

Under the six-month MOU, both parties will explore SQPG's potential participation in the project on a non-exclusive basis.

SQPG, part of Shandong Port Group, operates the Port of Qingdao, one of the world's 10 busiest ports, and provides port operations, container logistics, warehousing and supply chain management services.

In a separate filing, Tanco said its indirect wholly owned subsidiary, Tanco Supplies Sdn Bhd (TSSB), signed a memorandum of agreement (MOA) with Halaman Mantap Sdn Bhd to supply up to four million tonnes of armour rocks for reclamation works at the proposed port.

The parties will negotiate the specifications, quantities, pricing, timelines and other commercial terms within four months before executing definitive supply contracts.

“The MOA is to facilitate the parties supply of armour rocks for the reclamation works of the Midport Project,” it said.

The company said neither the MOU nor the MOA is expected to have any material impact on its share capital, shareholders' equity, net assets per share, gearing or earnings per share.

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