Malaysia invests in new shipyard

The Perak government in Malaysia has approved a land area of 69.76 hectares in Sungai Manjung, Lumut, on the west coast, for carrying out shipyard operations. About 24 hectares of the area was approved for Perak Shipbuilding & Engineering Sdn Bhd (PSESB), a subsidiary of the local shipping company of Halim Mazmin Bhd (HMB).

About 8.0 hectares have been dedicated as buffer zone while another 37.76 hectares would be handed to the Perak State Development Corporation for the use of other companies keen on carrying out shipbuilding operations in the area in future. PSESB would be investing $95 million on their shipyard project which is also expected to create up 1,500 job opportunities.

HMB’s executive chairman, Tan Sri Halim Mohammad was recently reported as saying that the development of a shipyard there would enable shipping operators to save on the cost of sending vessels overseas for repair. Halim said the area was also chosen for its strategic location, being close to the Straits of Malacca and located between Port Klang and Penang.