Announcing this, he said the investment would see an expansion of the independent terminals from the current capacity of 1.3 million cubic metres to 10 million cubic metres in the next 10 years “What is also very important is that with every RM1 billion investment, the multiply effect will be RM20 billion,” he said at the opening of the PITSB’s Phase 1A at Pengerang here yesterday.
Najib, who is also Finance Minister, said the economic spin-offs from the project was enormous.
“With the rapid development taking place in the country, I hope it will encourage our young Johorians and Malaysians, in general, to get involved in the oil, gas and petrochemical industry,” the prime minister said.
PITSB is a public-private partnership between the Johor state government, Holland’s Royal Vopak and the Dialog Group.
The Prime Minister also said the investment from Phase 1 of Pengerang Integrated Petroleum Complex (PIPC) alone was expected to contribute RM18.3 billion to Malaysia’s Gross National Income by 2020 and create more than 8,000 jobs.
“Beyond 2020, the numbers are expected to grow more than RM48 billion to the country’s GNI and create 15,000 jobs,” he said.
PITSB is one of the catalytic projects under the Pengerang Integrated Petroleum Complex (PIPC).
Najib also said there were plans to add a liquefied natural gas (LNG) terminal in Pengerang next year and Malaysia had extensive experience in this sector.
“I believe Pengerang is well placed to capture the future growth of LNG. Towards this end, the federal government is prepared to render the necessary support for building an LNG trading terminal here,” he said.
Currently, the joint venture company is undertaking a feasibility study for the proposed LNG terminal which was expected to be completed between six months to a year. — Bernama