KUALA LUMPUR: Megah Port Management Sdn Bhd (MPM) has taken over the management of Labuan Liberty Terminal today and will be handling the operation and facility management of the port for the next 6 years.
Further, MPM has also allocated RM10 million for upgrading works.
“We need to optimise the usage of Labuan Port by upgrading some of the facilities. Some of the works include repairing container yards and enhancing fire safety systems and warehouses at the port.
"It is important to note that the facilities have not been upgraded in the last 20 years, thus it requires some fresh funds to improve the quality of its services and management," MPM spokesperson noted in a statement.
The port management services include container operations, breakbulk (warehouse/container freight station/open yard), berthing and mooring, harbor tug services, stevedoring, bunkering, ship chandler to container and conventional vessels such as bulk carrier, general cargo ship, tanker, car carrier, and fishing vessel operators.
Labuan Port is situated on an island in East Malaysia. Its berths have a total length of 355.6 meters with alongside depths of between 4.6 meters and 10 meters, and can accommodate a deadweight tonnage of 16,000.
Labuan Port currently receives vessels carrying containers, dry and liquid bulk, general cargoes as well as oil and gas products.
MPM is 51 per cent owned by Straits Inter Logistics Bhd (SIL), which is principally engaged in oil trading and fuel bunkering services and investment holding activities.
The remaining 49 per cent is held by LPM Holdings Sdn Bhd.
In January this year, SIL won the operation and facility management contract for the Labuan Liberty Terminal.
An agreement was signed between SIL and Labuan Port Authority in March subsequently.
Further, MPM also pointed out that the Labuan Development Blueprint 2030 was launched in January 2018 to drive the transformation of Labuan into a smart and sustainable city.
One of the plans is to strengthen the island's logistics, through the enhancements of cargo facilities and infrastructure.
The initiative shall help to create demand for port management services to facilitate the seamless administration of the various port activities.