Abang Johari inspecting the site for the Sarawak Petrochemical Hub in Kidurong, Bintulu.

BINTULU: Tanjung Kidurong here will be developed into Sarawak’s petrochemical hub (SPH).

Chief Minister Datuk Patinggi Abang Johari Tun Openg said an approximately 1,000 acres of land has been acquired for the project.

The site is located about 15km north-east of the town centre and 36km from Samalaju Industrial Park. It is surrounded by energy-related developments such as Petronas LNG complex, Shell MDS and Sesco power plant and is adjacent to a mega methanol plant that is being developed.

Abang Johari said with the establishment of the petrochemical hub, Sarawak was confident that it would able to attract more foreign direct investments (FDIs) in the oil and gas (O&G) downstream sector in the near future.

He said the state government wanted to transform Bintulu from being the current world-renowned LNG gas producer to a petrochemical hub with future downstream valued-added integrated petrochemical complex.

The site of the Sarawak Petrochemical Hub at Tanjong Kidurong, Bintulu.

Abang Johari said Bintulu was considered ideal for the purpose due to following factors:

• Access to feedstock, being the landing point of offshore gas fields and close proximity to existing gas pipelines;
• Mass of activities such as ammonia/urea. LNG and GAS to Liquid (G-t-L) downstream industries are already present in Bintulu, coupled with the heavy industries in nearby Samalaju;
• Equipped with the relevant infrastructure such as deep sea port and inter-modal road links in Bintulu as well as the new port being developed in Samalaju.

He said the Economic Planning Unit Sarawak (EPUS) was undertaking a joint study with Petronas, on the development of the SPH masterplan.

The study would cover petrochemical investment scenarios and options, utilities, infrastructure, support services and layout, capabilities and incentives and implementation, socioeconomics and key success factors.

He said the Sarawak Economic Development Corporation (SEDC) would develop and manage the proposed project.