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Dr Mahathir stands firm on cancelling gas pipeline project in Sabah

Prime Minister Dr Mahathir Mohamad is standing firm on cancelling the China-backed Trans-Sabah Gas Pipeline (TSGP) in Sabah, which is valued at RM4.06 billion.

“We have determined that the pipeline (projects) will not be constructed.

“We are, as usual, not seeking the previous arrangement (to build the pipeline), and at the moment we are not going to do it,” he told a press conference at Putrajaya today.

Last August, Mahathir announced that two gas pipeline projects – TSGP and Multi-Product Pipeline (MPP) in Malacca – were cancelled, together with the East Coast Rail Link (ECRL).

Putrajaya, however, later embarked on a 10-month long negotiation with Beijing on the ECRL, and signed a supplementary agreement to resume the project at the reduced cost of RM44 billion.

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