Samur project more than 90pc ready, says Petronas

Sipitang: The high-impact Sabah Ammonia and Urea (Samur) project here, which was delayed for six months last year due to gutted critical equipment on board a vessel last year, is now more than 90 per cent complete.Petronas Chemicals Fertiliser Sabah Sdn Bhd Chief Executive Officer Mohd Iskandar Bakeri said the RM4.9 billion Samur, which will be completed early next year, involves the construction of three main production plants – ammonia, urea and granulation – using technology from Denmark, Italy and Germany.

Once it is fully operational, he said Samur would be capable of producing 740,000 metric tonne per annum (mtpa) of ammonia and 1.2 million mtpa of urea.

The US$1.5 billion (RM4.9 billion) Samur project is wholly-owned by Petronas Chemicals Group Berhad (PCG) via Petronas Chemicals Fertiliser Sabah Sdn Bhd.

"Presently, Petronas Chemicals Group Berhad (PCG) is manning two plants producing urea with one plant that is capable of producing 750,000 mtpa in Bintulu, Sarawak and another one in Gurun, Kedah with a maximum capacity of 683,000 mtpa.

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"Therefore, upon completion, Samur could double the existing production of urea fertiliser to about 2.6 million mtpa and this good prospect will make PCG the second biggest urea producer in South East Asia by 2016," he said.

Iskandar said this during the third Raya celebration organised by Petronas Chemicals Group Berhad (PCG) officiated by Sipitang MP Datuk Sapawi Ahmad at a multipurpose hall here on Saturday.

Also present were Lumadan assemblyman cum Tourism, Culture and Environment Assistant Minister Datuk Kamarlin Ombi, Sindumin assemblyman Datuk Ahmad Bujang, Sabah Umno Youth Chief Yamani Hafez Datuk Seri Musa Aman, PCG Project Directorate head Datuk Muhammad Shah Ali Petronas, Sabah and Labuan Chairman Mohamed Firouz Asnan and other officials.

Iskandar said the Samur project is a joint venture project of PCG with aconsortium of project contractors comprising Mitsubishi Heavy Industries Ltd., Apex Energy Sdn Bhd and PT Rekayasa Industri.

He said Sabah Energy Corporation was also appointed as an alliance company to the Samur contractor consortium representing the State government to distribute infrastructure projects including building roads, jetty, landscaping and safety to local companies.

Iskandar said participation of local companies in the implementation of this mega project would enhance their experiences and capabilities as well as open more opportunities in oil and gas related industries.

"Majority of the personnel in the operation and maintenance of plant in Samur are from Sabah who have been equipped with technical training at Gurun, Kedah, Bintulu in Sarawak and Kertih in Terengganu for two years.

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"In fact, 90 per cent the plant operators and 80 per cent of plant maintenance are from Sabah," he said

Iskandar said the mega Samur project is a catalyst to the growth of the support sector and will bring huge social and economic development to the local communities like what has happened in other operational areas of PCG in the country.

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