Brunei Firm Pitches 1,600 km High-Speed Rail Linking Indonesia, Malaysia

Via Nikkei Asia, an article on a bold Trans-Borneo project seeking to connect Kota Kinabalu and Nusantara:

A Brunei-based infrastructure company has announced a proposal for the first high-speed railway on the island of Borneo that would connect Brunei with its two larger neighbors, Indonesia and Malaysia, including the former’s future capital city.

Brunergy Utama, which started as an oil and gas company before switching to infrastructure, unveiled the project on the weekend, saying the Trans-Borneo Railways will span 1,620 kilometers from the western to the eastern side of Borneo, running through the three Southeast Asian nations located on the big island known for rich nature, oil and coal resources and palm plantation.

According to the announcement, the first phase will connect Pontianak, the capital of Indonesia’s West Kalimantan province, with Kuching and Kota Kinabalu, the capitals of the Malaysian states of Sarawak and Sabah, and the Brunei district of Tutong — along with the western and northern coast of the island. 

The second phase will run south and connect Tutong with Indonesia’s North Kalimantan and East Kalimantan provinces, including the cities of Samarinda and Balikpapan “and later the future Indonesian capital of Nusantara,” the company said.

Indonesia plans to relocate its capital from Jakarta to the new city being built on the island starting this year. 

There will be four terminals serving as main hubs of the high-speed rail network along with a total of 24 stations, and the bullet train is planned to travel at speeds of up to 350 kilometers per hour, according to the proposal. The project is reportedly estimated to cost $70 billion.

The project’s outlook, including participation from Malaysia and Indonesia, is still unclear.

Sabah State chief minister Hajiji Noor lauded the proposed mega rail project, saying it would be an economic catalyst for the Borneo region. He said that once the project materialized, it would facilitate trade, promote the growth of industries at the border areas, boost tourism in the Borneo region, and enhance people-to-people connectivity.

Malaysian Works Minister Alexander Nanta Linggi reportedly said last November that his ministry had received a preliminary proposal on the project. He said the federal government had approved a financial allocation specifically to carry out a feasibility ground study on the routes within Sabah and Sarawak, according to Malaysian news outlet Free Malaysia Today.

However, Sarawak premier Abang Johari Openg said the Sarawak state government has not been officially approached by the Brunei-based company to start the project.

A local government official in Indonesia’s North Kalimantan told Nikkei Asia that several discussions have taken place regarding the project with Brunei, but Indonesia has not committed to anything. Indonesia’s Transportation Ministry spokesperson Adita Irawati said “no follow up on the matter yet, especially those involving” the ministry.

Brunei transport and information communications minister Shamhary Mustapha said the proposal has not been officially discussed at the government level.



This entry was posted on Monday, April 1st, 2024 at 1:04 am and is filed under Indonesia, Malaysia.  You can follow any responses to this entry through the RSS 2.0 feed.  Both comments and pings are currently closed. 

Comments are closed.


ABOUT
WILDCATS AND BLACK SHEEP
Wildcats & Black Sheep is a personal interest blog dedicated to the identification and evaluation of maverick investment opportunities arising in frontier - and, what some may consider to be, “rogue” or “black sheep” - markets around the world.

Focusing primarily on The New Seven Sisters - the largely state owned petroleum companies from the emerging world that have become key players in the oil & gas industry as identified by Carola Hoyos, Chief Energy Correspondent for The Financial Times - but spanning other nascent opportunities around the globe that may hold potential in the years ahead, Wildcats & Black Sheep is a place for the adventurous to contemplate & evaluate the emerging markets of tomorrow.