The companies said the MoU covers the construction and development of a new international airport in Kimanis as well as a sustainable development plan to be undertaken within Kimanis or on any other land deemed suitable by the state government.

“A special purpose vehicle will undertake the proposed project upon completion of a detailed technical and financial feasibility study,” they said in a joint statement.

QSB group CEO Ahmad Rizal Dahli said the company had been tasked with looking into various strategic development initiatives to support the economic growth of Sabah, including the possible relocation of KKIA to Kimanis.

“The relocation of KKIA had been suggested in various discussions across the board for a decade. This MoU allows us to look at this in more detail, particularly in terms of economic viability and social impact assessment.

“We are looking forward to tapping on the expertise brought on board by the partnership with BLand, particularly on infrastructure development,” he said.

Rizal said KKIA was unlikely to be able to expand in its current location due to the limited land area. It is also surrounded by privately owned land.

“The development of the city centre can also be affected due to the regulations and restrictions from having an airport nearby.

“A relocation of KKIA to Kimanis, on the other hand, could result in the airport having more than one terminal building and runway,” he said.