Kedah Hydrocarbon Hub (KHH)

Under the Northern Corridor Economic Region (NCER), the state has been identified to spearhead the development of oil and gas (O&G) and petrochemical projects despite having no hydrocarbon resources. The selection criterion is unique, as it is based solely on its strategic location and features such as:

Close proximity to Thailand and Indonesia; Deep water sea depths, and as such, ability to accommodate ultra large crude carrier vessels; Entry point into the Straits of Malacca; and Relatively inexpensive land cost, with firm backing by the state government to attract industrialisation and investments.

Based on approved projects in these areas, we believe the privately-funded high-impact onshore O&G projects in NCER will bring in investments of about RM83bil, making it the largest onshore O&G outlay among the five economic corridors.