Labuan Liberty Terminal’s operator to spend RM10mil to improve services
03 Mar 2020
Straits Inter Logistics Bhd‘s 51 per cent-owned unit, Megah Port Administration Sdn Bhd, has allotted RM10 million for capital expenditure (capex) over the subsequent six years to improve its Labuan Liberty Terminal services.
Group managing director Datuk Seri Ho Kam Choy mentioned the internally generated fund can be used, amongst others, to restore container yards, enhancing fireplace security system and warehouses.
“The port is under-utilised. Individuals are simply bypassing the Labuan Port. The services haven’t been upgraded within the final 21 years,” he instructed reporters after an settlement signing ceremony between the Labuan Port Authority and Straits Inter Logistics for the operation and facility administration of Labuan Liberty Terminal right here right now.
He mentioned the corporate hoped to interrupt even after one 12 months of operation, backed by a robust crew with between 20 and 30 years of expertise.
Labuan Port Authority basic supervisor Zulkurnain Ayub mentioned Labuan Liberty Terminal’s container dealing with capability was anticipated to extend by 5 to 10 per cent per 12 months following the takeover of the terminal’s operation and facility administration by Straits Inter Logistics.
He expressed hope that the brand new port operator might handle the port properly and construct one other container yard to accommodate the extra tonnage.
“The present port dealing with capability of about 30,000 twenty-foot equal models (TEUs) is inadequate resulting from bodily (area) constraints and can’t deal with extra containers,” he mentioned.
On Jan 21 this 12 months, Straits Inter Logistics was awarded the operation and facility administration of Labuan Liberty Terminal in Labuan for a six-year interval beginning April 1 this 12 months.
Straits Inter Logistics is especially engaged in oil buying and selling and gas bunkering companies and funding holding actions.