KUALA LUMPUR: SARAWAK Petchem Sdn Bhd's RM7 billion methanol complex in Bintulu, Sarawak, is set to position Malaysia as a leading methanol producer in Asia Pacific, according to Minister of Investment, Trade, and Industry (MITI) Tengku Datuk Seri Zafrul Abdul Aziz.
This development aligns with the Chemical Industry Roadmap (CIR) 2030, enhancing Malaysia's chemical industry capabilities, creating jobs, and stimulating the economy by benefiting surrounding industries and SMEs, he said in a release from the Malaysian Investment Development Authority (MIDA).
Located in Tanjung Kidurong, the plant boasts an annual production capacity of 1.75 million metric tonnes, and is the first mega methanol complex to be developed and built by Sarawak's entity (Sarawak Petchem).
MIDA noted that this establishes Sarawak Petchem as Malaysia's second-largest methanol producer after Petronas Chemical.
It added that the plant's commissioning solidifies Malaysia's status as the top methanol producer in the Asia-Pacific region and is expected to attract further investments and boost downstream product production.
Methanol is a critical raw material for producing chemicals like acetic acid and formaldehyde, which are crucial in industries such as adhesives, solvents, and foams.
Datuk Patinggi Tan Sri Abang Johari Tun Openg said during the launch of the complex on Monday that it serves as a catalyst for more economic development in this region.
This methanol plant project, which is one of six catalytic projects that will help Sarawak generate an additional RM34 billion in Sarawak's gross domestic product by 2030, will contribute significantly to the state's economy by bolstering the manufacturing sector and its value chains, he said.
Meanwhile, MIDA chief executive officer Sikh Shamsul Ibrahim Sikh Abdul Majid hailed Sarawak Petchem's achievement as a testament to Malaysia's appeal for large-scale, high-impact investments.
"As we move forward with the New Industrial Master Plan (NIMP) 2030 and CIR 2030, we are committed to driving high-value addition and diversifying into higher value-added products that will propel our economy forward," he said.
He added that MIDA will support Sarawak Petchem's journey to becoming a global petrochemical industry leader.
"We are confident that this project will encourage further growth and investment in the region. Rest assured, we will continue rendering the necessary facilitation to Sarawak Petchem in their journey to become a leading entity in the global petrochemical industry," he said.
Sarawak Petchem chairman Tan Sri Amar Abdul Aziz Husain highlighted the project's role in driving regional economic development, job creation, sustainable growth, and positioning Sarawak as a key player in the global petrochemical industry.
"The establishment of Sarawak Petchem has also provided a platform for Sarawak to develop and attract a skilled workforce to come and work in Sarawak. In fact, some Sarawakians have returned to work with Sarawak Petchem to complete this project," he said.