News & Events
POIC Lahad Datu Signs Up Refinery Operator As 21st Investor
KOTA KINABALU, Tues. (July 29, 2008) - Selangor-based Sawit Raya Oil (Sabah) Sdn Bhd today became the 21st company to invest in the state-run palm oil industrial cluster in Lahad Datu.
The company, which is a subsidiary of Sawit Raya Sdn Bhd, signed an agreement here with POIC Sabah Sdn Bhd for the purchase of four acres of land for a palm oil refinery.
Dato Frankie Tan, the executive chairman of the company, said the investment at POIC Lahad Datu is expected to top RM50 million.
He and managing director, Tan Chung Kwai, signed the agreement on behalf of Sawit Raya Oil (Sabah). POIC Sabah Sdn Bhd was represented by its director cum Chief Executive Officer Dr Pang Teck Wai, and Company Secretary Michael Yong.
The signing ceremony was witnessed by Datuk Dr Ewon Ebin, the Minister of Industrial Development Sabah who is also chairman of POIC Sabah Sdn Bhd. The refinery will have a capacity of 100,000 tonnes per year, and construction is expected to begin next year.
With the entry of Sawit Raya Oil (Sabah) Sdn Bhd, POIC Lahad Datu now has a total of 21 investors, seven of which have been granted licences to operate palm oil refineries. The others are biodiesel and fertilizer plants, an energy producer and logistics providers.
Investments at POIC Lahad Datu now tops about RM 1.3 billion. The project started in 2006 with the first two phases covering 1,150 acres.
In his speech, Datuk Dr Ewon said the Sabah Government appreciates the confidence shown by Sawit Raya on POIC Lahad Datu at a time when the oil palm industry is facing rising costs and slowing prices.
Although high crude palm oil prices has impeded progress in biodiesel production, he said POIC Lahad Datu remains optimistic about other aspects of palm oil downstream processing.
He revealed that POIC Sabah Sdn Bhd is finalizing plans to introduce Phase 3 of POIC Lahad Datu. This phase will cover about 3,000 acres where clusters of cocoa, timber, and food-based industries are envisaged.
As part of the company's ambition to become a regional hub for vegetable oils and fertilizers, Phase 3 will also encourage maritime-related industries such as ship repairs to encourage the growth of a vibrant shipping industry to service the BIMP-EAGA region.
Officials of POIC Sabah Sdn Bhd and Sawit Raya Oil (Sabah) Sdn Bhd signing the S&P agreement witnessed by Datuk Dr Ewon Ebin and directors of both companies in Kota Kinabalu yesterday
Dato Frankie Tan (left), Executive Chairman of Sawit Raya Oil (Sabah) Sdn Bhd exchanging S&P documents with Dr Pang Teck Wai, CEO of POIC Sabah Sdn Bhd, witnessed by Datuk Dr Ewon Ebin
Group photo... Datuk Dr Ewon Ebin (center) together with the Officials of POIC Sabah Sdn Bhd and Sawit Raya Oil (Sabah) Sdn Bhd
Dato Frankie Tan (right), Executive Chairman of Sawit Raya Oil (Sabah) Sdn Bhd presenting a memento to Datuk Dr Ewon Ebin
© 2018 POIC Sabah Sdn. Bhd.