Labuan receives RM140 Million additional funds for Oil & Gas sector
LABUAN, Nov 12: The Federal Government has injected RM140 million in additional funds to ensure continuous momentum of the oil an gas sector in Labuan.
Deputy Finance Minister Datuk Ahmad Maslan said the booming oil and gas industry on the duty-free island had resulted in economic spinoffs for the locals in various sectors.
“The positive development in the oil and gas sector had also given a boost to the services and construction sectors, with more hotels, residential and commercial areas, transportation and eventually the registration of offshore companies in Labuan, opening up further economic activities and more job opportunities,” he said at the launch of Borneo’s largest Oil and Gas Expo 2013.
Ahmad was optimistic the oil and gas sector in Labuan would last for another 40 years and would have positive impact on Labuan’s economy in the long run.
The Labuan Corporation, being a local authority, is gearing towards creating more business ventures, giving more opportunities to investors in property and industrial land development, thus allowing more investors to invest in the oil and gas sector, he said.
The Deputy Minister also said the corporation was working towards a joint-venture investment with a foreign firm based in Labuan to develop an oil refinery, a marina city and a bridge connecting Labuan with the mainland.
He said the investment from these ventures estimated at US$5 billion is due to start next year.
“Labuan’s growth has been massively supported by this sector. The Labuan Corporation has identified oil and gas as the federal territory’s core development priority and as a prime mover of its economy.
“To date, there are more than 150 companies related to oil and gas having offices in Labuan. Among them are foreign investors such as Murphy, Talisman, Cameroon, Schlumberger, Halliburton and Wheatherford, and our own Malaysian investors, namely SapuraKencana Petroleum, Dayang Enterprise, Scomi and Alam Maritime,” he added.
source: BERNAMA
