KOTA KINABALU: Chief Minister Datuk Seri Panglima Haji Hajiji Haji Noor lauded Sabah’s official acquisition of 25 per cent equity in PETRONAS Chemicals Fertiliser Sabah Sdn Bhd (PC FSSB) giving state-owned SMJ Sdn Bhd (SMJSB) a stake in PC FSSB’s world-scale ammonia and urea production facilities.
This was made possible following the definitive agreements entered between SMJSB and PETRONAS Chemicals Group Berhad (PCG) today, subsequent to the Heads of Agreement (HOA) signed on Jan 9, 2023.
Hajiji said this latest acquisition was part of the Commercial Collaboration Agreement
(CCA) signed between the State Government and PETRONAS in December 7, 2021 to
enhance collaboration between the two parties in developing the oil and gas industry in
Sabah.
“The move envisioned under the Hala Tuju Sabah Maju Jaya was to give Sabah greater
revenue sharing in the oil and gas industry and augurs well for its development and
economic growth,” he said.
SMJSB’s Chief Executive Officer, Dr Dionysia Aloysius Kibat and PCG’s Managing Director and Chief Executive Officer, Ir. Mohd Yusri Mohamed Yusof signed for SMJSB and PCG respectively.
PC FSSB was established in 2011 to construct, own and operate an integrated ammonia
and urea production complex at the Sipitang Oil and Gas Industrial Park (SOGIP). PC FSSB’s facilities are designed to produce 1.9 million metric tonnes per annum of
ammonia and urea.
It is the largest single-train ammonia and urea plant in Southeast Asia and the third
largest urea plant in Asia Pacific.
Sabah has also made significant progress through its wholly-owned company, Sabah
Energy Corporation following the signing of the agreement with PETRONAS in October
last year, giving SEC selected downstream gas pipeline assets and supply of natural
gas contracts.
SMJSB had also finalised the acquisition of a 50 per cent of non-operating participating
interest in the Samarang Production Sharing Contract (PSC) through the Farm Out
Agreement (FOA) with PETRONAS Carigali Sdn Bhd (PCSB), a wholly-owned
subsidiary of PETRONAS recently, on April 4.-pr/BNN
