KOTA BAHARU, Oct 18 (Bernama) -- Felcra Bhd is in the process of buildinga RM100 million palm oil refinery plant in Dubai as part of its plans tospread its wings overseas.
Its chairman, Datuk Hamzah Zainuddin, said he had discussions with severalcompanies in Dubai on the construction of the plant which would be thefirst owned by Felcra overseas.
"Our discussions began three months ago and hopefully by early next year,we can proceed to exporting crude palm oil and processing it there(Dubai)," he said after officiating Felcra's family day here Saturday.
He said that initially, Felcra had received the green light from PrimeMinister Datuk Seri Dr Mahathir Mohamad to build the plant in Oman butafter a review, Dubai was found to be a more strategic re-export hub.
Hamzah said West Asian countries not only want Malaysia to continue toexport CPO but to help build refinery plants in their countries.
He said if it was possible, these plants would also be build in Pakistanand India.
"This would enable us to carry out downstream activities and market theend products in the region," he said.
He revealed that Felcra do not own as refinery plants in Malaysia as therewere many refineries owned by the private sector.
"We only produce crude oil and it is basically for the domestic market.The amount we export is very minimum," said Hamzah.
"If we were to sell refined oil, we have to use other people's refineryand the cost would have been too high then."
When asked when Felcra would be listed on the Kuala Lumpur Stock Exchange(KLSE), he said it was up to the goverment.
"The government owns Felcra. If it were to be listed on the KLSE, then itis the government's wish and strategy," he said.