Premier: Launch of Borneo Oil and Gas Supply Base a historic milestone for Bintulu Port

BINTULU (Sept 23): Today marked a historic milestone for the Bintulu Port with the launch of the Borneo Oil and Gas (BOG) Supply Base.

Sarawak Premier Datuk Patinggi Tan Sri Abang Johari Tun Openg launched the supply base, which he said is a trajectory for the management of Bintulu Port as it becomes a site to supply all materials required in the oil and gas industry.

Speaking to the media after the launch, Abang Johari said currently, Borneo has one supply base located in Labuan, and the new BOG supply base has been made possible thanks to the federal government, particularly the Finance Ministry and Customs and Excise Department for granting the exclusive supply base licence.

“This new facility positions Bintulu as a key location for the procurement of goods needed by the oil and gas industry.

“Offshore Sarawak holds over 60 per cent of Malaysia’s gas reserves and ongoing exploration projects like Kawasari and Lang Lebah, which include carbon capture utilisation and storage (CCUS) initiatives, require substantial supplies for their operations,” he said.

Abang Johari said the BOG supply base would also support downstream petrochemical activities in Bintulu, including methanol and ammonia production.

He added investments from Japan and Korea in hydrogen production in Sarawak further highlights the need for this infrastructure, as hydrogen is a green energy source that will be produced in the region.

“Additionally, the CCUS industry in offshore Sarawak would benefit from this supply base. The shipping industry, which is transitioning from fossil fuels to renewable energy sources like methanol and ammonia, can also find essential services at Bintulu Port’s bunkering services,” he said.

Abang Johari said Sarawak has advantages in terms of Bintulu’s strategic location, resource advantages and trained manpower to make it an ideal site for these new industries.

He also congratulated Bintulu Port for obtaining the supply base licence and thanked the federal government for the support that would enable Bintulu Port to provide support services to these industries.

“With advice from Surbana Jurong, known for their expertise in developing major ports in Singaore, Bintulu Port is set to review and enhance its development plans. This collaboration is aimed at planning and executing the second phase of the Bintulu Samalaju Port.

“This initiative is expected to have a positive impact on the local community and the new strategies introduced would significantly improve the quality of life for residents,” he said.

Abang Johari said the Sarawak government has identified new industries and trends for green activities and Bintulu Port has already been recognised as a green port.

“The shift towards green energy is driven by the need for clean energy sources. While gas is the cleanest fossil fuel, hydrogen can be extracted to produce green energy. The policy is also focused on creating job opportunities, which is why free tertiary education is provided, with priority given to courses relevant to the long-term economy,” he said.

Also present were Deputy Premiers Datuk Amar Douglas Uggah Embas, Datuk Amar Awang Tengah Ali Hasan, Datuk Amar Prof Dr Sim Kui Hian, Sarawak State Legislative Assembly Speaker Tan Sri Mohamad Asfia Awang Nassar, Minister of Food Industry, Commodity and Regional Development Dato Sri Dr Stephen Rundi Utom, Minister in the Sarawak Premier’s Department Dato Sri John Sikie Tayai, Sarawak State Secretary Datuk Amar Mohamad Abu Bakar Marzuki and Bintulu Port Holdings Berhad group chief executive officer Ruslan Abdul Ghani.