10/13/2010 — Bernama
Tanjong Agas Supply Base and Marine Services Sdn Bhd (TASBMS) and Dubai-based Oilfields Supply Center Ltd (OSC) today signed a joint venture agreement to build, own, manage and operate a multifunctional common user supply base.
The supply base will be located in the East Coast Economic Region (ECER) Special Economic Zone, said the ECER secretariat in a statement.
Both companies have committed a total initial investment of RM620 million (US$200 million) for the development of the supply base via a newly formed joint-venture company known as Tanjong Agas Oilfield Supply Centre Sdn Bhd.
The ground-breaking ceremony for the supply base is scheduled for next month and it is expected to be ready for operations by 2013.
TASBMS managing director Mohd Faidzal Ahmad Mahidin said the supply base will be developed on a site measuring 101 hectares (250 acres) along a one-kilometre shoreline, with water depth of 20 metres.
The whole development of the Tanjong Agas Oil & Gas and Logistics Industrial Park will cover a total area of 1,723 hectares (4,260 acres).
Once completed, the supply base will offer a full range of support facilities and services in the offshore exploration, exploitation and production of oil within Malaysian waters as well as the regional waters of South China Sea and beyond.
ECER Development Corporation chief executive officer Datuk Jebasingam Issace John said the new supply base will be a key component in the Tanjong Agas Oil & Gas and Logistics Industrial Park.
It is projected to generate more than 2,000 jobs opportunities for the locals and create related entrepreneurial opportunities that will raise the income of the local people, he said.
Jebasingam said OSC is the first investor from the Middle East which has established its presence in ECER, following an investment mission to the region by the corporation in May this year.
“At the moment, several potential investors from the Middle East have already shown keen interest in ECER and we are optimistic that more investors from the region will establish their presence in ECER soon,” he said.