Kemaman Port East Wharf Privatization

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In September 2006, Konsortium Pelabuhan Kemaman Sdn Bhd (KPK) won a 60-year contract to expand and manage the East Wharf and Liquid Chemical Berth at Kemaman Port, Pahang State, Malaysia. The cost of the entire project was not disclosed, however, a new liquid chemical berth was estimated to cost RM45 million (US$12.3 million), while there was a separate cost for the acquisition of movable assets at the port. KPK was jointly owned by two Malaysian firms, Road Builder (M) Holdings and the Eastern Pacific Industrial Corporation Bhd (EPIC). Road Builder was subsequently bought fully by Malaysian firm IJM Corporation. EPIC held 61-percent of KPK, while the remainder was held by IJM Corporation, through its wholly-owned subsidiary, Road Builders (M) Holdings. KPK acquired the movable assets of the port form RM1.2 million ($327,000) and signed a separate lease agreement for the East Wharf and Liquid Chemical Berth. KPK held an initial 30-year lease that was renewable for another 30 years. The total capacity of the project was not released. KPK assumed operational responsibility for the port on 1 October, 2006. As of June 2007, the project was operational.