New Maritime Hub in Kuantan

SHAH ALAM: Despite the apparent softness in the oil and gas and ship-building industries in Malaysia and the region, public listed Muhibbah Engineering (M) Bhd is building a new maritime hub in the East Coast, specifically, Kuantan, the capital of Pahang.

In a filing with Bursa Malaysia on Monday, Muhibbah Engineering announced it was buying a piece of land in Kuantan for the maritime hub.

According to the filing, the company had entered into an agreement with Perbadanan Setiausaha Kerajaan Pahang for the proposed acquisition of a land in Kuantan, Pahang, for RM26.45 million.

Muhibbah Engineering said the land would be developed into the Kuantan Maritime Hub over 10 years.

The proposed acquisition would be funded with internal funds and there are no liabilities including contingent liabilities and guarantees to be assumed from the proposed acquisition.

A model of the missile corvettes proposed by DSME for RMN.
A model of the missile corvettes proposed by DSME for RMN.

“The proposed acquisition provides an opportunity for the MEB group to develop industrial activities for ship building and ship repairs and major fabrication offshore structure.

“This will enlarge the group’s maritime and fabrication to enhance the future performance of the group,” it said.

Apart from high end construction services and engineering, Muhibbah has diversified to include steel fabrication for land and marine construction, specialising in infrastructure for the oil and gas industry as well as crane manufacturing.

A graphic of the PT Palindo/Tenggara NASA OPV to meet the APMM requirement.
A graphic of the PT Palindo/Tenggara NASA OPV to meet the APMM requirement.

And it appears with the Kuantan maritime hub, Muhibbah is poised to enter ship-building in a big time in the near future. One has to wonder whether the ship-building will involved projects belonging to the RMN and MMEA and PDRM as well.

A model of APMM NGPC at Destini Bhd booth.
A model of APMM NGPC at Destini Bhd booth at DSA 2016.

Previously there were plans to build missile corvettes for the RMN but that was supposed to be in a new port in Pekan. That plan however have gone cold.

In the past, Terengganu was supposed to be the ship-building hub for the East Coast, spearheaded by the MSET Shipbuilding Corporation Sdn Bhd. It has been supplying patrol boats, RHIBs and other small vessels to government agencies including the RMN and police but had failed to move beyond those. They have build survey and hydro-graphic vessels but not for naval or security applications however.

The 40mm gun at the stern of KD Perdana. The ship was undergoing routine maintenance at the Geliga Slipway Shipyard in Terengganu in 2015. Geliga picture
The 40mm gun at the stern of KD Perdana. The ship was undergoing routine maintenance at the Geliga Slipway Shipyard in Terengganu in 2015. Geliga picture

Apart from MSET, there is also the Geliga shipyard which also do refit work for RMN, police and MMEA vessels.

— Malaysian Defence

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8 Comments

  1. Muhibbah and other local shipyard has the capabilities to build and are quite cost friendly. But the politician got more way to enrich the rich by creating new company just for two ship in the sake of helping malay.

    Marsun m-36 is an example of patrol craft developed from a Fast crew boat which is norm in O&G industries. We should have no problem to develop one for APMM.

    Is there any plan to acquire BM6 for the navy ? and do the navy has a need for a replenishment vessel as BM6/BM5 would do great with a a few upgrade

    Reply
    There is a plan but I guess we have to see whether MISC could afford it.

  2. MSET has build 20+m patrol vessels for police and Mmea. Also fast interceptors for kastam.

  3. Labuan and Perlis shipyard are also building vessels for security forces afaik.

    I think we could indigenously design and build more capable craft for both LE and the military.Not necessarily corvette-sized (I suppose we can, but it would be a commercial, sea state 4 ship with grey paint), but we could build a 50~60m littoral patrol ship like this one

    http://m.imgur.com/ky2xDUs?r

    So far Boustead has offered a scalable Meko 100(which means it could be built bigger or smaller compared to the original Kedah class OPV) , but I’d like to see them, or any other shipbuilders, to come out with their own design

    Reply
    Why should BNS need to come out with their own design since they already owned the Kedah class design?

  4. I believe MEB will be focusing more on O&G segment which they’re more familiar with. Maybe they want to copy the ship&offshore platform-building industry like Pasir Gudang/Tuas/Batam and have the advantage of being closer to oilgas fields in South China Sea.

  5. As for the bm5/bm6 converted to replenishment tankers.

    It could be done. Google:

    Canada project resolve.

    A simpler and lower cost rebuild of the BM5/BM6 (or its sisterships bm7/bm8 that has been sold. Secondhand prices for this types of ships is around 2-3million only) could be done. A new superstructure with hangar and cantilevered rear helipad. Fuel tanks in cargo hold. 2 point replenishment rig in the middle. It could be done for usd 10-15 million per ship.

  6. …,

    You got the point. I was referred to the Canadian project.
    Hope the Navy take the chance as BM6 is currently laid up in Malacca without a job.

    Having a replenishment vsl located somewhere around Layang layang give our boats capabilities to refuel and rearm if needed without return to base. Give more patrol time

    Reply
    Again it’s up to MISC to do the needful. She could also be used as a mother ship for the CB90s travelling from KK to Pulau Layang2

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