The much talked-about project, which was first announced by Malaysia’s largest oil terminal player KIC Oil & Gas six years ago, faced many issues which delayed its launch but according to one APH source “construction work on it had never officially stopped”.

Initial plans would have seen the bunkering hub fully operational by end-2009.

Market sources in January 2009 however, said that KIC was poised to lose support from state bank CIMB to fund construction work due to disputes over ownership stakes in APH, essentially between KIC and Tanjung Pelepas owner and operator Seaport Terminal.

One APH source on Monday confirmed with Bunkerworld remarks made by KIC chairman and CEO Abdul Rashid Mohd Isa Al-Qadiry late last week indicating that the bunker hub is currently about 60% completed.

Abdul Rashid told local press that APH was 61% completed and slated to be operational next August, during the signing of a memorandum of agreement with Thailand’s Nathalin Group in collaboration with PTT Public Co to form a ship owning joint venture (JV) project.

The JV is set to acquire 22 vessels for $200 million within the next three years.

Birth of the consortium’s fleet is to support KIC’s oil terminal activities at Westports, Port Klang, and the yet-to-be launched APH.

Bunkerworld last reported in February 2009 that APH was 40% held by KIC, 35% by Seaport Terminal, and 25% between two other entities.