By Marina Emmanuel
7 April, 2008
SOUTH Korean technology giant Samsung Electronics Co Ltd may invest RM3.5 billion in a memory chip plant in Penang.
Business Times learnt that the electronics firm had started talks with the previous state government for a facility, which would have 3,000 workers, at Batu Kawan on the mainland.
Sources close to the discussions said Samsung plans to set up an assembly and test plant in Penang and is eyeing a 32ha site.
"Their investment decision, however, hinges on a firm commitment on the completion of the second crossing because logistics and speedy transportation of chips from the factory to the airport is critical," one source told the Business Times.
Samsung began talks with the Malaysian Industrial Development Authority, investPenang and the Penang Development Corporation last year.
When contacted, Samsung Group Malaysia said: "Samsung Electronics is exploring various investment opportunities in Southeast Asian countries, but no decision has been made."
Last year, Samsung Electronics was reported to operate 15 semiconductor production lines globally, including two factories in Texas, US.
Besides concerns on the completion date of the second Penang bridge, issues like land price are also being negotiated.
"The company also wants to be able to begin construction of its facility by September this year, before it commits itself to investing," the source said.
Tan Sri Zaini Omar, who heads a task force for the second bridge project, said work is on schedule and the new crossing will be opened to the public by January 2011.
"The design for the bridge has been completed and the main span of the new crossing is expected to be similar to the first Penang Bridge," he said.
Zaini said soil investigations and test piling works have also been completed.
The 24km second Penang bridge (of which 17km will be on water) will link Penang island and Seberang Prai.
UEM Construction Sdn Bhd - a subsidiary of UEM Builders Bhd - has named port builder and bridge construction firm China Harbour Engineering Co Ltd as its main contractor for the bridge which will link Batu Maung on the island with Batu Kawan in Seberang Prai.
"The costing for the project," Zaini said, "will be submitted by the joint-venture company for the project, CHEC-UEM, by April 10 to the government for an internal evaluation".
He said the final cost will reflect the rising cost of materials such as steel.
No comments:
Post a Comment