MALAYSIA - Several multinational companies have agreed in principle to invest a total of 5.5 billion ringgit (S$2.2 billion) over several years, mostly on Malaysia's resurgent oil and gas (O&G) industry.
While the investment amount is just a ballpark figure, Prime Minister Datuk Seri Najib Tun Razak said several companies had agreed in principle to invest in various industries.
These meetings were held on the sidelines of the World Economic Forum with the heads and senior management of the multinational companies.
"I met with Itochu Corp which has expressed interest in partnering with Petronas to further develop the petrochemical industry in the Refinery & Petrochemical Integrated Development (Rapid) project in Pengerang," he said.
Najib said the talks were coming to fruition and this would positively impact the development of the 60 billion ringgit Rapid project.
He said that besides this project, Itochu has also expressed an interest in setting up an integrated seamless pipe factory for the O&G industry.
Meanwhile, Najib said the Hanwha Group, a South Korean conglomerate, has expressed interest in several investments including taking over Thalheim, Germany-based Q-Cells SE's Malaysian operations.
He said the industrial group was keen on setting up a research and development centre for the production of photovoltaic systems and solutions.
"They may increase their investments in the future. Besides this, they have expressed interest in investing in an asset management company involved in the construction industry as well as acquiring a life insurance company," he added.
Najib also met with Germany's Evonik Industries AG which has agreed to set up a joint venture with Petronas for the petrochemical industry, also in Pengerang.
"This project has been agreed on in principle and the company will be making a one-year detailed study before starting work next year," he said.