KUCHING: Hubline Bhd has announced the formation of a strategic joint venture with Permodalan Satok Bhd (PSB) to establish a dedicated methanol and chemical products transportation company, marking a significant step in Sarawak’s ambitions to become a regional petrochemical and green energy hub.
The agreement, signed today (Mar 27) through Hubline’s wholly owned subsidiary, Hub Carrier Sdn Bhd, will see the creation of a new entity, PSB Hubline Sdn Bhd, with Hub Carrier holding a 60 per cent stake and PSB the remaining 40 per cent.
The joint venture company will be incorporated with an initial paid-up share capital of RM1 million.
The collaboration is positioned to serve as the in-house transportation arm of Sarawak PetChem, the methanol complex operator owned by PSB, under long-term contractual arrangements with a minimum committed volume.
Beyond methanol, the venture is expected to extend its services to other chemical exports arising from the broader Sarawak Gas Roadmap.
Both parties cited alignment with the state government’s development agenda as a central motivation for the partnership.
The Sarawak Methanol Complex in Bintulu – a flagship initiative championed by Premier Datuk Patinggi Tan Sri Abang Johari Tun Openg – forms the commercial backbone of the venture’s near-term operations, with longer-term ambitions including the potential offtake of green methanol for marine bunkering.
“This joint venture enables another Sarawak-based company to participate meaningfully in the state’s petrochemicals and maritime industry,” the companies said in a joint statement released today (Mar 27), underscoring the venture’s role in channelling economic benefits from the state’s natural resource value chain.
In a related announcement, Hubline confirmed it has signed a non-binding Letter of Intent with Zhoushan Ningshing Shipbuilding & Repairing Co. Ltd of China for the construction of two 13,800 deadweight tonne stainless steel chemical tankers.
The vessels will be fitted with dual-fuel engines capable of running on methanol, reflecting the company’s commitment to sustainable maritime operations.
The financial impact of the joint venture is anticipated to contribute positively to the earnings of both Hubline and PSB, though no specific projections were disclosed at this stage.
The announcement signals growing private-sector confidence in Sarawak’s petrochemical corridor and reinforces the state’s strategy of building integrated, locally anchored supply chains to support its 2030 green energy transformation goals.
