Published May 11, 2009

Malaysia, Brunei ink power deal: report

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(KUALA LUMPUR) A newspaper says that Malaysia has inked an unprecedented agreement with Brunei to supply power to the neighbouring sultanate.

The Star daily reported that the two countries signed a deal last Friday that could lead to 400 megawatts of power being supplied from Sarawak state to Brunei within the next two or three years.

The two countries will conduct a feasibility study for the project. The deal is part of an initiative to set up a wider power grid on Borneo island, where both Sarawak and Brunei are located.

The Sunday report said that power cables are expected to be operational by 2012. The report cited Sarawak Public Utilities Minister Amar Awang Tengah Ali Hassan.

Officials could not immediately be reached to confirm the report. -- AP