3 foreign companies to invest RM5.5 Bil in Malaysia

Prime Minister Datuk Seri Najib Tun Razak Thursday announced potential investments totaling RM5.5 billion from three companies in Malaysia.

The investments were pledged following Najib's meeting with the companies' managements on the sidelines of the five-day World Economic Forum (WEF) beginning here Sunday.

Najib said Itochu Steel Industry showed interest for a joint-venture with Petronas, Malaysia's national oil corporation, in the petrochemical industry at Rapid Pengerang in Johor.

"This venture can be said as almost will become a reality. This project will give an impact to the progress of Rapid Pengerang," he told Malaysian journalists here late Thursday.

The prime minister said the company was keen to build a plant that would produce integrated seamless pipes for the oil and gas industry.

Najib also met the Hanwha Group which intends to invest in asset management, construction and life insurance companies.

The prime minister said the conglomerate, which acquired Q-Cells, a German company that produces photovoltaic (PV) cells, for RM1.4 billion is expected to increase its investments in future.

It is learnt the company will invest RM3 billion over eight years.

Naiib said the Evonik Industries AG will form a jonit-venture company with Petronas in the petrochemical industry.

"This project can be said as has been agreed in principle. They will conduct a detailed study during this one year. Work will start next year," said Najib, who is in Davos to attend the World Economic Forum (WEF), which begins Sunday.