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July 5, 2007

Malaysia begins to build regional oil hub
Malaysia started the work to build a regional petroleum hub in its southern state of Johor on Thursday, local media reported.

The Asia Petroleum Hub (APH) is located on a reclaimed island at Tanjung Bin, about 40 km west of Johor Baharu, capital of Johor State. It is part of the Malaysian government's efforts to develop the country's southern economic corridor.

Malaysian Prime Minister Abdullah Ahmad Badawi said at the project's ground-breaking ceremony there that the establishment of the hub will bring about many positive spillover effects to Malaysia as a whole, with the Iskandar Development Region (IDR) in southern Johor in particular.

The hub would provide uninterrupted bunkering services to liners calling at the ports nearby, he said.

The project, which plans to embrace multiple jetties and facilities, will be able to handle all sizes of vessels ranging from 1,000 deadweight tons (DWT) coastal tankers to 350,000 DWT super crude carriers.

It is also designed to handle over 30 million tons of petroleum products and accommodate over 3,000 vessels calling at the terminal each year. The project is set to be completed in 2009.

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