SPEECH BY THE RIGHT HONORABLE CHIEF MINISTER SABAH, DATUK SERI PANGLIMA MUSA HAJ.I AMAN, AT THE SIGNING CEREMONY OF SHAREHOLDERS AGREEMENT (SHA) BETWEEN PETRONAS GAS BERHAD AND YAYASAN SABAH FOR THE DEVELOPMENT OF A 300MW GAS-FIRED POWER PLANT IN KIMANIS, PAPAR AT TANJUNG ROOM 2 & 3, SHANGRI-LA TANJUNG ARU, KOTA KINABALU, ON 24TH NOVEMBER 2008
I am pleased to be here today to witness the signing of the Shareholders Agreement between Petronas Gas Berhad and Yayasan Sabah Group. Today’s signing for the development of the Kimanis Power Plant project marks an important milestone in our efforts to improve power supply in the State.
Gas which will land at the Sabah Oil and Gas
Terminal (SOGT) in Kimanis will be used to fire this 300 megawatt plant which
will benefit the people, especially those who are living on the west coast of
the state when this additional power is channelled to an existing grid system.
By having better electricity supply,
I wish to state here that the Government is
concerned about power shortage and is committed in doing what it can to improve
the situation. Allow me to assure the people of
The State Government has been in discussions with Petronas since 2006 on the concept for a petrochemical plant that includes a masterplan for downstream gas industries. We intend to work closely with Petronas to develop all possibilities in the oil and gas sector, including in downstream industries. The fact that we have not publicised all these initiatives does not mean that we are not doing anything. All announcements on government plans will be done at an appropriate time when key aspects of projects have been finalised and can be implemented. We do not want to make announcements for political mileage or vested interests.
As an update, state agenices like Yayasan Sabah
are currently working closely with Petronas to develop petrochemical projects
such as the ammonia and urea plant. A comprehensive study undertaken by
Petronas on the development of the oil and gas industry in line with
requirements of the Sabah Development Corridor is expected to be ready by the
end of this year. We are eagerly waiting for the outcome of the study and we
want to assure Petronas that the State will give its full support for Petronas
to invest in
We also welcome Petronas’ commitment to invest
billions of ringgit in developing the SOGT in Kimanis and we have the highest
confidence that this small town on the state’s west coast will be the future
catalyst of growth for the oil and gas industry in
Human resource development is an important factor in developing the oil and gas sector. We need highly skilled people to work in this sector and towards this end, we are looking forward for the establishment of a training centre at the SOGT. Those who have been trained can be absorbed for the SOGT, the Kimanis power plant and for other downstream industries. This also fits in well with one of the aims of the Sabah Development Corridor, which is to create 900,000 jobs by the end of the plan in 2025.
Today’s signing is very significant as it marks
the first project in
I would like to congratulate the hardworking members
of the steering committee from Petronas Gas Berhad and Yayasan Sabah who are
doing their level best to swiftly implement the project. The key success
factors crucial for the project start-up are already in place, and I understand
that the project will be fast tracked by both parties in view of the need to
provide more power for consumers and for