KUALA LUMPUR: Suria Capital Holdings Bhd has entered into a memorandum of understanding (MOU) with Vandelay Ventures Sdn Bhd to develop the Sabah Maju Jaya Renewable Energy Industrial Complex (SMJREIC) at Teluk Sepanggar, with an investment of approximately RM700 million.

       The company said the SMJREIC would comprise a hydrogenated vegetable oil plant with a capacity of 250,000 tonnes per annum to produce sustainable aviation fuel from used cooking oil, waste animal fats and other industrial and agricultural residual products.

       In a filing to Bursa Malaysia today, the company said it would also include the first palm oil refinery complex with a capacity of 100,000 tonnes per annum to cater for Sabah's west coast and interior divisions. This would benefit the palm oil industry based on its long-term cost-benefit analysis.

       The development includes a plant that produces subsidised cooking oil, palm oil products and derivatives.

       "The facilities will leverage technology and innovation to ensure the creation of highly skilled locals who will then be able to further boost Sabah's productivity and growth. The projects are targeted to be completed by 2025,” the company said.

       Suria Capital said the complex is also expected to further bring in direct investments into the state, apart from creating 10,000 jobs through various ancillary industries.

       The company said the state’s main port operator and its wholly-owned subsidiary, Sabah Ports Sdn Bhd, will support downstream activities and the import/export of raw and finished products.

       The industrial complex is also expected to boost the volume of liquid bulk oil handled at Sabah ports, the company said. - Bernama