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Sabah's Sipitang O&G Industrial Park should be developed to full potential

Updated: Dec 19, 2022

By Olivia Miwil - March 8, 2021 @ 7:32pm


Chief Minister Datuk Seri Hajiji Noor said the infrastructure and land readiness were one of the important issues that must be addressed by the Sabah Oil and Gas Development Corporation (SOGDC), as the promoter of SOGIP, to attract investors. - NSTP file pic


KOTA KINABALU: The Sipitang Oil and Gas Industrial Park (SOGIP) should be developed into its full potential as a premier petrochemical gas and petroleum downstream activity hub in this region.


Chief Minister Datuk Seri Hajiji Noor said the infrastructure and land readiness were one of the important issues that must be addressed by the Sabah Oil and Gas Development Corporation (SOGDC), as the promoter of SOGIP, to attract investors.


He said, on the state government's part, it was providing funds under the Sabah Maju Jaya (SMJ) Halatuju and through the Federal Government under the 12th Malaysia Plan (12MP) to address infrastructure issues in SOGIP.


He said SOGDC needs to work extra hard to ensure positive growth of Sabah's oil and gas industry and in particular improve SOGIP's position in the petrochemical cluster within the South East Asia region, aside from creating high quality jobs for the people.


He said this when chairing the SOGDC board of directors (BOD) meeting at PPNS near here.


Hajiji, who is also the chairman of SOGDC, said he believed with the new team, the corporation would move to the forefront and become more efficient and proactive in managing SOGIP.


The SOGDC's new BOD also comprises Deputy Chief Minister cum Industrial Development Minister Datuk Dr Joachim Gunsalam; and Abdul Kadir Damsal as managing director and chief executive officer, among others.


Hajiji said the development of Sabah's oil and gas industry, especially upstream sectors, has experienced rapid growth with the discovery of deepwater oil fields in its waters in the past few years.


"Improved terms in the Production Sharing Contract (PSC) by Petronas has allowed better management of the upstream sector and enabled the country and Sabah in particular to progress in terms of its hydrocarbon resources," he said.


Hajiji also assured that it was the State Government's aspiration not only to boost revenue from oil and gas from taxes but also achieve inclusivity where people will have bigger opportunities and benefit economically.


Earlier, the Chief Minister presented the letters of appointment to the new board members.


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