KEMAMAN, Nov 29 — A South Korean company will through a joint venture (JV) with a local entity invest RM6.6 billion in Terengganu’s steel industry.

Mentri Besar Datuk Seri Ahmad Said said Prime Minister Datuk Seri Najib Razak is expected to witness the signing of the memorandum of understanding (MoU) on the JV on December 16.

“The RM6.6 billion investment in the steel industry will be among the biggest in the Telok Kalong Heavy Industry Park here.

“The state government has already evaluated the company’s application for investment, as well as the facilities required and the benefits, particularly from the aspect of the creation of jobs for the people of Terengganu,” he added.

According to Ahmad, the prime minister is also expected to witness on December 16, the signing of MoUs involving a number of foreign investment projects worth more than RM10 billion to be implemented in Terengganu.

He said the ceremony will be held in Putrajaya in conjunction with the meeting on the East Coast Economic Region (ECER).

Commenting on the South Korean company, he said it would be the third to invest in the steel industry in the Kemanan Heavy Industry Park after Perwaja Steel and Eastern Steel which is also a JV between a local company and China’s  Shougang Corporation, the country’s largest integrated steel producer.

“The South Korean company is expected to start operations in either the  second or third quarter of next year and is expected to create about 2,000 skilled and semi-skilled workers from among the locals.

“We are also expecting another foreign direct investment (FDI) of about RM16 billion in the steel sector from the United States and discussions are underway,” he added.

Ahmad said it was important for Terengganu to attract as much FDI as possible for the steel industry, in line with the vision to make the Telok Kalong Heavy Industry Park, Malaysia’s hub for the steel industry.

“Apart from the steel industry, Terengganu has also among others, natural resources and minerals to be exploited, to attract more investors to the state,” he added

He said Terengganu would make Tasik Kenyir in Hulu Terengganu an international standard tourist destination and duty-free shopping centre.

“To date, the state government has already received FDI of RM1 billion for the tourism sector in Tasik Kenyir, the largest man-made lake in Southeast Asia,” Ahmad added. — Bernama