Abu Dhabi's Mubadala, Malaysia 1MDB plan $7 bln project

Abu Dhabi’s Mubadala, Malaysia 1MDB plan $7 bln project

Deal for strategic partnership for aluminium sector, other.

October 8, 2010 1:37 by Reuters

Abu Dhabi investment fund Mubadala plans a $7 billion investment in Malaysia’s aluminium sector with (1MDB), a statement said on Friday.

The agreements, signed in Malaysia on Friday, involves a strategic partnership for the aluminium sector and other projects involving the Sarawak Corridor of Renewable Energy and the Kuala Lumpur International Financial District.

“The two state-owned companies are starting preliminary assessment work on the project, which will create more than 10,000 jobs during construction and another 2,000 specialist jobs,” the joint statement said referring to the aluminium project in Sarawak, involving Mubadala Industry.

It said details of Mubadala’s role in the Kuala Lumpur financial district — through Mubadala Real Estate & Hospitality — would be finalised next year after 1MDB completes its masterplan for the district.

Mubadala is fully-owned by the Abu Dhabi government. Abu Dhabi, capital of the United Arab Emirates, is investing heavily in sectors such as industry, tourism, infrastructure and real estate to diversify its economy from oil.

Mubadala has stakes in Advanced Micro Devices Inc and Ferrari, as well as General Electric and private equity firm Carlyle.

(Reporting by Andrew Hammond; Editing by Mike Nesbit)