Sabah Ports Sdn Bhd held a signing ceremony to commemorate the leasing of Sapangar Bay Oil Depot (SBOD) to oil and gas segment provider, KA Petra Sdn Bhd (KPSB). The facility shall act as a supply hub for diesel and bitumen distribution, catering particularly for domestic consumption as well as for South East Asia demands. Under the partnership, Selangor based KPSB will lease the depot for a period of 20 years from Sabah Ports, in which KPSB intends to position SBOD as an export gateway to greater Asia and ASEAN, particularly the BIMP EAGA economic zone.
The tenancy agreement includes an undertaking from KPSB to increase the depot’s capacity from its current 30, 000 metric ton (MT) to 100, 000 MT within 5 years. The upgrade is to commensurate with the company’s forecasted trading volume based on secured contracts and potential business.
Signing the tenancy agreement on behalf of KPSB was En. Kannan Annamalai, while En. Mohd Sahid Hj. Nawab Khan acted as signatory for Sabah Ports. Standing in as witnesses to the ceremony were Dato’ Shahrul Amirul, KPSB’s Managing Director as well as Ms. Ng Kiat Min, Suria Capital Holdings Berhad’s Group Managing Director cum Managing Director for Sabah Ports.
