LABUAN, Asian Supply Base Sdn Bhd (ASB) and Legenda Bumimas Sdn Bhd have entered into a strategic joint venture aimed at transforming scheduled waste management in Labuan.
ASB chief executive officer Datuk Japar Esteban.
ASB chief executive officer Datuk Japar Esteban said the collaboration will end the longstanding practice of transporting waste to Sarawak, with all handling and recovery activities soon to be undertaken at ASB’s processing plant in Labuan.
“Operations are expected to commence in December this year. This new venture into scheduled waste management forms part of ASB’s broader business diversification strategy, in line with evolving industry needs and sustainability targets,” he told Bernama.
ASB, a Sabah government-linked company headquartered in Labuan, is recognised as an integrated logistics hub for the oil and gas industry, serving over 80 oil and gas-related companies, including multinational operators.
According to Japar, the partnership marks a key milestone in ensuring waste generated within the hub can be treated and recovered locally. “This initiative not only addresses operational challenges but also enhances Labuan’s positioning as a vital oil and gas hub in Malaysia. By reducing the need for long-distance transport, the partnership lowers logistics costs, improves supply-chain efficiency, and supports Malaysia’s carbon reduction goals,” he said.
He added that localised processing and recovery efforts would minimise ecological impact while reinforcing Labuan’s role as a sustainable, forward-looking hub that can support both multinational corporations and domestic operators with comprehensive solutions. The joint venture agreement between ASB and Legenda Bumimas was signed recently.
Legenda Bumimas managing director Datuk Tan Pek Chian said the company is honoured to be ASB’s first integrated waste management partner, providing collection, storage, and recovery of waste generated from offshore operations.
“Our next phase will be to develop in-house treatment and full recovery capabilities within the Labuan hub. This represents a strategic RM40 million first-phase investment, underscoring our long-term commitment to environmental, social, and governance (ESG) practices. By promoting circular, low-carbon waste solutions and reducing carbon emissions from the supply base to disposal centres, we aim to close the loop in sustainable waste management,” he said.
Tan added that the development would further enhance ASB’s waste solutions portfolio, enabling production sharing contractors to achieve greater waste minimisation and recovery at source.