LAKMNS purchased 613 acres of palm farmland

KUCHING, 12 Nov: The Board of Trustees of the Sarawak State Masjid (LAKMNS) has agreed to purchase 613 hectares of palm oil field land in Sungai Bok, Bakong, Baram, Miri Division from Berhad Palm Reservoir at RM18.39 million in cash.

According to DagangNews, a wholly owned subsidiary of Palm Cluster, R.H. Plantation Sdn Bhd has signed a purchase agreement with LAKMNS as notified to Bursa Malaysia on Thursday.

Sawit Accumulation in its statement stated that the disposal of the land concerned was aimed at restructuring its portfolio of land holdings in addition to realising the value of the investment, thus reducing future management and development costs.

The land covers an area of 446.79 hectares, with trees aged between two and four years.

The sale price of RM18.39 million was also about 2.2 per cent higher than the market value of RM18 million set by independent appraisers last September.

The LAKMNS chaired by the Sarawak Premier, Datuk Patinggi Tan Sri Abang Johari Tun Openg will pay a deposit of RM1.839 million, while the remaining RM16.551 million must be clarified within three months after all terms of the agreement are met.

The transaction is expected to be completed in the first half of 2027, subject to approval by Sarawak Land Authority.

Meanwhile, the proceeds from the disposal of the land will be used by the Palm Harvest as working capital to strengthen the operations of the farm and the company's existing palm oil plant.