Momberger Airport Information - 

An investor has pledged to spend MYR 2 billion (USD 473 million) to acquire close to 4,047 hectares of land to build the Kulim international airport (KXP) and the associated commercial land developments. The proposed airport, codenamed KXP, is to be located on a 1,700-hectare site near Sungai Petani, not far from Penang, and will handle 15 million passengers per year in its first-phase development. The airport will at the heart of a large logistics and industrial zone. The state had earlier expected its first flights to be carried out as early as 2024. The head of Kedah State, Muhammad Sanusi Md Nor, said an unnamed company has entered into a joint venture with KXP Airportcity Holdings Sdn Bhd, a state government-linked company (GLC) and would develop the entire project. He said the company was given six months to raise the MYR 2 billion to acquire 4,047 hectares of land, which had already been approved for land acquisition earlier on. The airport and other related developments announced earlier, would cost a total of USD 1.6 billion. “We have received a proposal from a company to take the private finance initiative or PFI route to acquire and develop the ‘aerotropolis’. “We have approved this proposal in principle and with due diligence to be carried out by KXP Airportcity Holdings Sdn Bhd on this new company from time to time. approved an additional 5,665 hectares of land to be acquired by the government, upon request of the new company. He said a new special purpose vehicle (SPV) company will be created between a state GLC and the new funder to negotiate for an airport license from the transport ministry. Sanusi said the SPV would also negotiate with the ministry to exclude the Kulim airport from an airports study which has put all expansions of existing airports and the creation of new ones on hold until 2024. Besides the airport construction, the new SPV will also build the Sidam Logistics, Aerospace, and Manufacturing Hub, located adjacent to the airport, so as to allow factories and logistical infrastructure to be built. Sanusi said the entry of the new company was timely, as the state government’s request for a MYR 2.5 billion (USD-591 million) loan from Putrajaya to acquire land has not been viewed favorably. #1149.14