MIDA Congratulates Launch Of Sarawak Petchem’s Rm7 Billion Methanol Complex, Catalysing Bintulu’s Rise As A Petrochemical Hub
Kuala Lumpur, 23 July 2024 – The Malaysian Investment Development Authority (MIDA) congratulates Sarawak Petchem Sdn. Bhd.’s (Sarawak Petchem) for the launch of its cutting-edge Methanol Complex in Tanjung Kidurong, Bintulu, Sarawak. This significant project, with an annual production capacity of 1,750,000 metric tonnes, solidifies the company’s position as Malaysia’s second-largest methanol producer after PETRONAS Chemical.
With the commissioning of Sarawak Petchem’s methanol plant, Malaysia has emerged as the leading methanol producer in the Asia Pacific region. The availability of methanol in Malaysia, particularly in Sarawak, is expected to drive further investments and stimulate the production of other downstream products. Methanol is a critical raw material for the production of chemicals such as acetic acid and formaldehyde, which are essential in industries including adhesives, solvents, and foams.
YB Senator Tengku Datuk Seri Utama Zafrul Tengku Abdul Aziz, Minister of Investment, Trade, and Industry (MITI), lauded the company, highlighting, “The establishment of Sarawak Petchem’s RM7 billion methanol complex in Sarawak is a defining milestone in helping establish Malaysia as a leading methanol producer in the Asia Pacific region. This will not only advance Malaysia’s capabilities in the chemical industry, as envisaged by the Chemical Industry Roadmap (CIR) 2030, but also drive job creation and stimulate our economy by providing opportunities to surrounding industries and SMEs.”
Mr. Sikh Shamsul Ibrahim Sikh Abdul Majid, the Chief Executive Officer of the Malaysian Investment Development Authority (MIDA) stated, “This milestone achievement by Sarawak Petchem is a testament to Malaysia’s attractiveness as a destination for large-scale, high-impact investments. All of this is a prelude as we move forward with the New Industrial Master Plan (NIMP) 2030 and CIR 2030, we are committed to driving high-value addition and diversifying into higher value-added products that will propel our economy forward. We are confident that this project will encourage further growth and investment in the region. Rest assured, we will continue rendering the necessary facilitation to Sarawak Petchem in their journey to become a leading entity in the global petrochemical industry.
According to Sarawak Petchem Chairman, Tan Sri Datuk Amar (Dr) Haji Abdul Aziz Husain, “The project also served as a catalyst for more economic development in this region, driving job creation, fostering sustainable growth and strategically positioning Sarawak as a key player in the global petrochemical industry”.
“The establishment of Sarawak Petchem has also provided a platform for Sarawak to develop and attract skilled workforce to come and work in Sarawak. In fact, some Sarawakians have returned to work with Sarawak Petchem to complete this project,” he said.
This project is part of the Sarawak State Government’s effort to establish Bintulu as a Petrochemical Hub in the region. The plant will require skilled personnel, predominantly engineers, technicians, operators, and specialists, to oversee its operations. Additionally, there will be secondary opportunities stemming from the plant’s operation, including services and maintenance.
Malaysia hosts a significant petrochemical industry comprising over 100 companies that manufacture a diverse range of chemical products. Foreign investments in the country has increased in recent decades, driven by its access to oil and gas resources, extensive infrastructure, a strong services sector, and a strategically advantageous geographic location that serves important markets in Asia and the Middle East. Malaysia’s petrochemical production currently focuses on olefins, polymers, and aromatics, with ambitious plans to advance into more sophisticated specialty chemicals beyond basic commodities.
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About MIDA
MIDA is the government’s principal investment promotion and development agency under the Ministry of Investment, Trade and Industry (MITI) to oversee and drive investments into the manufacturing and services sectors in Malaysia. Headquartered in Kuala Lumpur Sentral, MIDA has 12 regional and 21 overseas offices. MIDA continues to be the strategic partner to businesses in seizing the opportunities arising from the technology revolution of this era. For more information, please visit www.mida.gov.my and follow us on X, Instagram, Facebook, LinkedIn, TikTok and YouTube channel.
For more information, please contact:
MIDA
Ms. Siti Halimaton Mohd. Rejab
Director, Chemical and Advanced Materials Division, MIDA
Email: [email protected]
Tel: +603-2267 6701
