Integrated clinker-cement plant to be built in Tongod


KOTA KINABALU: An integrated clinker and cement plant will be built in Pinangah, Tongod, a project aimed to ensure consistent supply and cheaper prices for cement in Sabah.

This was following a joint-venture agreement between Sabah Economic Development Corporation (Sedco) and Sri Alam Setia Sdn Bhd, which will see the setting up of Borneo Cement (Sabah) Sdn Bhd to spearhead the development.

The JV signing ceremony took place at Menara Kinabalu here on Wednesday (Aug 2) and was witnessed by Chief Minister Datuk Seri Hajiji Noor, according to a statement released by the Chief Minister's office.

Sedco was represented by its chairman Datuk Rubin Balang and general manager Haizar RH Ajaz Nabijan, while Sri Alam Setia's managing director Michael Kinsuan and lawyer Hassan Murtaza signed on behalf of the company.

Set to transform Tongod in line with the state government's aspiration to overcome poverty by bringing in high-impact projects to create job opportunities, the project is expected to generate 1,000 jobs for the local community.

The clinker and cement plant will provide access to 5,000 tonnes of clinker per year, equivalent to 1.75 million tonnes of cement annually, according to the statement.

With Sabah market's current requirement at 1.4 million tonnes per year, this project is expected to not only meet immediate needs but will also ensure future supply.

During the event, a memorandum of agreement was also inked between Borneo Cement (Sabah) and Sinoma Industry Engineering (M) Sdn Bhd, the world's and China's largest cement manufacturer and turnkey developer.

Sinoma Industry Engineering (M) has committed to complete plant construction within two years.

Borneo Cement (Sabah) was represented by its chairman Datuk Masiung Banah while signing on behalf of Sinoma Industry Engineering (M) was Sun Jian as the chairman representative, and the managing director Liu Tao.

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