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Pengerang Integrated Petroleum Complex (PIPC)


Pengerang Integrated Petroleum Complex (PIPC) is a project development in Pengerang, Kota Tinggi District, Johor, Malaysia. Strategically located at the south-east tip of Peninsular Malaysia, it offers access to existing major international shipping lanes. The PIPC megaprojects spans 20,000 acres and will house oil refineries, naphtha crackers, petrochemical plants as well as liquefied natural gas (LNG) import terminals and a regasification plant upon completion. Once materialized, PIPC is estimated to generate RM18.3 billion Gross National Income (GNI) by the year 2020 and help to create 8,600 high-income and high-skilled jobs.

PIPC aims to become a regional downstream oil storage and trading hub by leveraging on its strategic port location on major shipping routes for crude oil and refined products, its proximity to Singapore (Asia’s largest oil-trading hub), land availability and deepwater marine accessibility. A major strength of this hub will be its ability to complement Singapore's oil and gas storage capabilities to create a regional centre for oil and gas services. The project also aims to increase Malaysia’s petrochemical output by building a petrochemical complex in the identified strategic area. The development of PIPC, which received full support from both the state government and federal government, also benefits the local community by creating greater access to economic opportunities other than the provision of public infrastructure in Pengerang. To ensure the successful development of PIPC, a dedicated Malaysian Federal Government agency known as Johor Petroleum Development Corporation Berhad (JPDC) was established. JPDC was created as a subsidiary to Malaysia Petroleum Resources Corporation (MPRC)

Development of the PIPC is an important component of Malaysia's Economic Transformation Programme (ETP). The ETP was launched on 25 September 2010, formulated as part of Malaysia's National Transformation Programme. Its goal is to elevate the country to developed nation status by 2020, targeting GNI per capita of US$15,000. This will be achieved by attracting US$444 billion in investments which will, in turn, create 3.3 million new jobs. The focus on oil and gas projects, arising from the Economic Transformation Programme, will create a more dynamic and progressive oil and gas industry in Malaysia. Malaysian companies will be able to work with local and foreign investors to invest in new technologies, new products, as well as create countless job opportunities as several of these petrochemical projects take off in the near future.


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