Malaysian Phosphate inks deal with Sesco to power Samalaju plant

Malaysian Phosphate Additives (Sarawak) Sdn Bhd has signed an agreement with Sarawak power company, Syarikat Sesco Berhad – a wholly owned subsidiary of Sarawak Energy Bhd – to purchase 150 megawatts (mw) to power its RM1.9 billion integrated food, feed and fertiliser phosphate plant in the Samalaju Industrial Park (SIP) near Bintulu. 

The plant when it becomes operational in the first half of 2018, would be the largest in South-East Asia with an annual production capacity of approximately 500,000 metric tonnes (mt) of food, feed and fertiliser phosphate additives, 100,000mt of ammonia and 900,000mt of coke.

It is also expected to generate 1,200 jobs.

MPAS chairman Datuk Syed Ahmad Alwee Alsree said for the investment of RM1.9 billion, “we are projecting a compelling GNI of RM 11.8 billion from 2017 to 2030 to the Malaysian economy”.

He said they range from strengthening Malaysia’s food security and competitiveness through reduced imports, to providing 1,200 direct employment opportunities for Sarawakians in particular, to attracting potential downstream manufacturers, including small and medium enterprises (SMEs) to set up plants in the northern node of the industrial belt known as Sarawak Corridor of Renewable Energy (Score).

Syed Ahmad said adding 5.5 million mt of cargo throughput into the new Samalaju port would represent more than 50% of the port's throughput.

SEB chief executive officer Datuk Torstein Dale Sjotveit signed on behalf of Sesco while MPAS managing director Lim Lee Wan signed on behalf of the company.

It was witnessed by Sarawak Chief Minister Tan Sri Adenan Satem.

MPAS is a 100% Malaysian joint venture between Samalaju Industries Sdn Bhd (SISB), MPA Phosphate Ventures Sdn Bhd (MPVSB) and Arif Enigma Sdn Bhd (AESB).

SISB is a wholly owned subsidiary of main board listed Cahya Mata Sarawak Bhd, a leading infrastructure and manufacturing group in Sarawak while MPVSB is a wholly owned subsidiary of Malaysian Phosphate Additives Sdn Bhd, a manufacturer of phosphate additives in Lumut, Perak.

AESB is an associate of Tradewinds plantations group of companies. – February 3, 2016. - The Malaysian Insider.