Strategically located between major shipyards such as Singapore, Tanjung Pelepas and Port Klang, the KLIP will be able to provide good marine support services to ships passing through the Straits of Malacca.
Its development will be carried out under a long term collaboration agreement between T.A.G Marine Sdn Bhd and Belgium’s biggest shipping company, Euronav NV.
Transport Minister Anthony Loke Siew Fook, who witnessed the signing of the memorandum of understanding (MoU) here today, said the deal would have an impact on Malaysia's maritime industry in line with the nation’s target to spur the economy and to develop the maritime hub as well as related industries.
“This is a long term agreement which will offer various opportunities for local maritime industry players.
“The ministry supports this move because we need to seize the opportunity to take full advantage of its location,” he told reporters after the signing ceremony.
Loke said the project is set to create jobs for local residents and boost the economy at the same time, as ships will be entering the port not only to refuel, but also to get fresh water supply and food.
“There will definitely be a demand for water supply and food from the shipmates when the ships come in to refuel, and local companies will be able to provide various services which will result in a positive impact on the nation’s economy,” he said.
Meanwhile, T.A.G Marine chief executive officer Datuk Muhammad Saifullah Noor said the MoU marked another major milestone for KLIP, adding that the company is confident that KLIP is on track for current and future expansion.
“KLIP is ready to cater to the needs and growing demand for port and maritime services with the expected increase in number of vessels plying through the Straits of Malacca annually.
“To date, KLIP has invested more than RM600 million in total expenditure focusing on growth and port expansion,” he said.
He noted that the MoU paves the way for the development of KLIP as a bunkering hub for the implementation of the low sulphur fuel requirement developed under the auspices of the International Maritime Organisation for ships transiting the Straits of Malacca.