KUALA LUMPUR: The multi-billion ringgit refinery and petrochemical integrated development (RAPID) project in Pengerang and its spin-off activities will create thousands of jobs during the peak of its implementation.
Petronas Chief Operating Officer Datuk Wan Zulkiflee Wan Ariffin said that between 40,000 and 50,000 workers would be needed during the construction period to build the refinery, petrochemical plants and related infrastructure and facilities.
The complex itself would need some 4,000 trained technical staff once it starts to progressively come on stream from end-2016 onwards. Petronas is already recruiting 400 engineers this year for the project, he told Bernama in an interview.
His Royal Highness the Sultan of Johor, Sultan Ibrahim Ibni Almarhum Sultan Iskandar is scheduled to launch RAPID tomorrow, exactly a year after Prime Minister Datuk Seri Najib Tun Razak first announced the project on May 13 last year.
RAPID is being undertaken by the national oil corporation involving an investment of US$20 billion, with world class oil, gas and petrochemical companies as potential partners.
The 2,000-hectare site at Pengerang is ideal because of its strategic location near international shipping lanes. It is one of the deepest points in Peninsular Malaysia and is well-sheltered.
Wan Zulkiflee said this would be conducive for deepwater port facilities, enabling very large crude carriers (VLCCs) and other vessels to berth for crude and products transportation.
"Its close proximity to regional demand centres (Asean, China and India) is also expected to attract potential tie-ups with global partners in logistics and product distribution," he said.
The refinery would have a capacity of 300,000 barrels per day, producing higher grade fuels that meet European specifications, as well as supplying feedstock to the petrochemical complex for the manufacture of various products, including differentiated and specialty chemicals.
The project is in line with the government's desire to set up new engines of growth for Malaysia and create new businesses and employment opportunities that will raise incomes and improve the people's quality of life.
"For example, during the construction period, with 50,000 workers you would see requirements for services like transportation, housing, food, hospitality, medical and other needs," he said.
In the longer term, Wan Zulkiflee expects RAPID to fuel the growth of local suppliers, service and maintenance providers to support the operation of the complex.
"A lot of attention is being paid to the potential opportunities during RAPID's implementation.
"Post-commissioning is also very important as the complex would require various support services during its entire operational life," he said.
Recently, Petronas signed Heads of Agreement with diversified chemical group BASF to jointly own, develop, construct and operate production facilities for specialty chemicals and plants for precusor materials within the RAPID complex.
Progress has also been made in the various other technical and commercial aspects of the project for Petronas to "reach the final investment decision (FID) by mid-2013," said Wan Zulkiflee.
By then, it would be clear who Petronas' partners would be in the project.
Except for pre-FID works, no other contract has been tendered out or awarded.
Petronas will begin pre-qualification exercises for various tender packages for the project in stages, the earliest of which is expected to be held in the third quarter of this year. -- BERNAMA
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