By Shannon Teoh
The Malaysian Insider
Jun 17, 2011
KUALA LUMPUR, June 17 — Asia Petroleum Hub (APH) is in talks with an investor to fully finance its troubled multibillion-dollar oil terminal in Johor, one of its main contractors said today.
Muhibbah Engineering Bhd said in a filing to Bursa Malaysia that APH “has identified an investor and was in negotiations with the investor to fully finance the completion of the APH hub project, including making due payments to contractors.”
Singapore Business Times (BT) had reported on Wednesday that financier CIMB Bank had placed APH under receivership over a RM1.4 billion three-year bridge loan granted in 2006.
APH drew down RM840 million for project costs but executives told BT that costs had escalated and APH was looking for investors for a further RM2 billion in new financing. Continue reading “Johor oil terminal in rescue talks with investor, says contractor”