Kota kinabalu: The Sabah government is poised to secure a significant 40 per cent stake in a floating liquefied natural gas (FLNG) project within the state, as confirmed by Sabah Chief Minister Datuk Seri Hajiji Noor. This development comes under an agreement set to be finalized with Petronas in the coming months.
According to BERNAMA News Agency, Chief Minister Hajiji highlighted that this advancement is a result of the collaborative efforts between the state and federal governments. An earlier agreement with Petronas has facilitated the state government's increased involvement in Sabah's oil and gas sector. "We expect to sign an agreement with Petronas within the next few months, under which Sabah will receive a 40 per cent stake in the floating gas facility in the state," Hajiji stated at the launch of the 'Jelajah Rakyat and MADANI Rahmah Sales' programme in Kalabakan. Additionally, Sabah will acquire a 20 per cent stake in the oil and gas field in Sandakan secured by Petronas.
Hajiji emphasized the positive outcomes of the partnership between state and federal governments for Sabah and its residents. He also pointed out the rising interest from investors, attributing it to the state's favorable investment policies. Over the past five years, numerous foreign diplomats and high commissioners have engaged with the Sabah government, drawn by these policies and their potential to bolster economic growth.
The Chief Minister also noted the strong investor demand leading to near-capacity levels at industrial parks such as the Kota Kinabalu Industrial Park (KKIP) and the Sipitang Oil and Gas Industrial Park (SOGIP). In response, Sabah is expanding its industrial development to new areas, including the east coast and northern regions of the state, with plans for a blue economy-based industrial park.
Furthermore, Hajiji mentioned plans for a new township in Kalabakan, with approximately 1,000 acres earmarked for the initiative. This project aims to bolster economic activities along the Sabah-Indonesia border, complemented by a proposed customs, immigration, and quarantine (CIQ) complex and a new road connecting Kalabakan to the border.