Follow us

Agreement inked to boost downstream industry

Agreement inked to boost downstream industry

Brunei Fertilizer Industries Sdn Bhd (BFI) signed a service agreement in a virtual ceremony with Muara Port Company Sdn Bhd (MPC) to undertake logistics, operations and port-handling services for the purpose of exporting granular urea for BFI.

Signing on behalf of BFI was its Chief Executive Officer Mohammed Salim Baderkhan, while MPC was represented by its Chief Executive Officer Zeng Caili.

BFI Corporate Secretary Dayangku Amalina binti Pengiran Kasmirhan and MPC Chief Operating Officer Mohd Fazilah bin Haji Md Yassin witnessed the signing.

The BFI project is implemented by the Government of His Majesty Sultan Haji Hassanal Bolkiah Mu’izzaddin Waddaulah ibni Al-Marhum Sultan Haji Omar ‘Ali Saifuddien Sa’adul Khairi Waddien, Sultan and Yang Di-Pertuan of Brunei Darussalam and is one of the largest and recent downstream oil and gas and chemical projects in the country that utilises the country’s natural gas resources.

The BFI plant will be among the largest single-train urea facility in the world, with an expected production capacity of 1.365 million tonnes per annum of granular urea. Urea, which has 46 per cent nitrogen content, has the highest nitrogen content of any solid nitrogen fertilisers and is the most used fertiliser in the world, with dominance in the
Asian market.

By exporting through the Muara Port, BFI would be able to deploy larger vessels for exports to markets such as India, Australia, Latin America and the United States (US).

BFI Chief Executive Officer Mohammed Salim Baderkhan and MPC Chief Executive Officer Zeng Caili during the signing ceremony. PHOTO: BFI

MPC recently commenced preliminary works for the Muara Port expansion which aims to accommodate additional capacity by 2023.

With the expansion of the Muara Port, MPC is best positioned to handle the fertiliser cargoes. MPC will be providing BFI with end-to-end logistics solution to transport urea from Sungai Liang Industrial Park where BFI is located to Muara Port to cater for larger bulk carrier vessels of up to 40,000 DWT thus enabling BFI to reach its remote customers.

In this joint venture, MPC will also be the operator of BFI Terminal located at Sungai Liang Industrial Park. The BFI Terminal will accommodate small bulk carrier vessels of up to 9,000 DWT which is ideal for regional ports.

Mohammed Salim Baderkhan said, “This partnership is one of BFI’s projects to support the positive momentum for the Sultanate’s economic diversification efforts.

“Together BFI and MPC’s partnership will increase the local in-country value and create more than 150 employment opportunities directly and indirectly. This will contribute towards achieving the goals of Brunei Vision 2035.”

He highlighted that the agreement is a significant milestone that will help BFI to realise its future business plans and exports to regional customers and customers in the four continents thus, maximising BFI’s income and net back.

Meanwhile, Zeng Caili said, “The implementation of this project will ensure a long-standing partnership on vessel operations and cargo handling services between the two parties.

“It is also hoped that the project will complement industry growth and logistics facilitation in Brunei Darussalam as well as create more opportunities for manpower growth in various fields within the logistic sector and the downstream oil and gas.”


World class fertiliser plant with state of the art facility.

Brunei Fertilizer Industries Sdn Bhd (BFI) is a world class manufacturer for high quality urea granular fertiliser situated in Brunei Darussalam. BFI’s state of the art facility has a production capacity of 1,365,000MT of UREA per year making it one of the largest fertiliser plants in the Southeast Asia region.