Johor To Commence Infrastructure Work At Oil And Gas Hub

JOHOR BAHARU, March 3 (Bernama) -- Johor will commence construction of infrastructure at the proposed site of the oil and gas hub in Teluk Ramunia, Pengerang, in the first quarter of the year, says Menteri Besar Datuk Abdul Ghani Othman on Thursday.

Without disclosing figures, he said it would be financed by the federal government under the Facilitation Fund, vis-a-vis, the value of investment that was being invested in the hub.

Abdul Ghani said the hub would take shape in two years.

"In the mean time, we should be able to bring major utilities such as access roads, power and water supplies required for this major operation in that part of Johor," he said.

The state has set aside 809.37 hectares of state land to construct the first phase of the hub, which will be sprawled over 5,000 hectares, when it is completed.

Abdul Ghani was speaking to reporters after opening Cameron International Malaysia Systems Sdn Bhd (CIMS)'s plant at Port of Tanjung Pelepas (PTP) Free Zone in Gelang Patah.

The plant will supply marine wellheads, gate valves, block valves, sub-sea connection system and sub-sea Christmas trees (an assembly of valves and fittings used for oil or gas exploration) for large sub-sea projects worldwide.

The plant complements the CIMS's existing facilities in Subang, Labuan, Kemaman, Miri and Kuala Lumpur.

Earlier in his speech, Abdul Ghani said CIMS was the latest among global oil and gas players to choose Johor as its preferred destination to locate and provide oil and gas services to its customers throughout Asia.

"CIMS's US$100 million investment in PTP's Free Zone is significant for it is another testimony of the growing confidence global companies have in Johor as an investment destination," he said.

Abdul Ghani added that it was the state government's goal to attract and convince multinational companies to bring a sizeable share of their global operations to Johor.

He expressed confidence that multi-national companies would convince their suppliers to set up operations here to help consolidate domestic fabrication, engineering, procurement and installation capabilities.

CIMS, a subsidiary of US-based Cameron International Corporation, is listed on the New York Stock Exchange and is invovled in sub-sea system solutions for major oil and gas players throughout the world.

-- BERNAMA

Source: http://www.bernama.com/bernama/v5/newsbusiness.php?id=568297