SARAWAK Land Consolidation and Rehabilitation Authority (Salcra) has obtained approval from Malaysian Palm Oil Board (MPOB) to construct a new palm oil mill in Merindun in line with its development plan.
According to Assistant Minister of Land Development Datuk Abdul Wahab Aziz, the new mill located near the old mill that was partly destroyed by a fire last year, would have a processing capacity of 60 metric tonnes (MT) per hour and upgradeable to 120MT per hour.
“Site preparations and other civil works for the new mill commenced in July last year and is expected to be operational by the end of 2016,” he said in response to Johnichal Rayong’s (BN-Engkilili) query on whether Salcra would build a new palm oil mill in Merindun.
On a related matter, Abdul Wahab said Salcra would continue to purchase FFBs from smallholders who have signed long-term contracts to sell their FFBs to Lubok Antu Palm Oil Mill.
“Salcra is also in the process of getting approval to repair the burnt components of the mill so that it can resume buying FFBs from smallholders who choose to sell their FFBs to the mill,” he said in response to a question posed by Malcolm Mussen Lamoh (BN-Batang Ai).
“Repair works to the mill should be completed by end of the year and is expected to resume full operation in January 2016,” he said.