KUALA LUMPUR (April 22): Sarawak state-owned Sarawak Petchem Sdn Bhd is planning an up to RM6 billion Islamic bond or sukuk sale under the wakalah principle, according to a lodgement with the Securities Commission Malaysia (SC).

The lodgement with the SC on Thursday (April 21, 2022), however, did not specify the purpose, duration and annual profit rate of Sarawak Petchem's proposed sukuk wakalah programme.

According to the lodgement, Sarawak Petchem's Islamic bond scheme is "pending issuance".

The filing said Maybank Investment Bank Bhd and RHB Investment Bank Bhd are principal advisers for the sukuk programme.

Established in June 2017, Sarawak Petchem will be the first company in Sarawak to produce methanol with an annual capacity of 1.7 million tonnes a year under a collaboration with Petroliam Nasional Bhd (Petronas).

Petronas said in a statement on Oct 4, 2021 that Sarawak Petchem's plant in Bintulu was still under construction then.

"Petronas Global Technical Solutions Sdn Bhd (PGTSSB) has entered into an agreement with Sarawak Petchem to provide advisory and technical support services for Sarawak's first mega methanol plant.

"The agreement covers advisory on technical services, procurement and turnaround, as well as critical operations and maintenance support for the landmark Sarawak methanol project throughout its project execution and operation stages," said Petronas, which wholly-owns PGTSSB.