Malaysia’s Prinsiptek inks $518.6 mln JV deal to set up oil palm facilities

Malaysian construction and property development company Prinsiptek Corp. BHD has entered a 2.13 billion Malaysian ringgit ($518.6 million) joint venture (JV) to establish an oil palm plantation plus a palm oil mill and other facilities.

Prinsiptek entered the JV with Malaysia-based AA Strategic Marketing Sdn BHD and import-export company TTSJ Trading Sdn BHD.

With the collaboration, the companies will establish an oil palm plantation and palm oil mill at Lawas, Sarawak and construct a jetty, port, bulking tank for palm oil, green energy plant and refinery at Sipitang Port, Sabah.

The JV would bolster Prinsiptek’s core competencies in the construction industry and an income stream to the company’s business in the long run. Prinsiptek noted that the project will be finalized within five years.