Johor Unveils Three-Island Maharani Freeport as New Energy and Maritime Free Zone

MUAR (Nov 29): Johor officially launched the 3,200-acre Maharani Freeport in Muar on Saturday, establishing a three-island deep-water free zone designed to serve regional oil and gas and maritime activities along the Strait of Malacca.

Developed by Maharani Energy Gateway Sdn Bhd (MEG), the project spans three reclaimed islands and a mainland plot housing an energy hub, deep seaport, industrial park, and financial hub.

The freeport offers a range of incentives for investors, including:

• Tax exemptions on energy and maritime businesses

• Import-duty exemptions on most raw materials and manufacturing equipment

• Unrestricted capital and profit repatriation

• 100% foreign ownership subject to conditions

The deep-water facility, with natural depths exceeding 24 metres, can accommodate very large crude carriers, enabling ship-to-ship operations, oil and gas trading, product storage, refinery and petrochemical activities, LNG floating terminals, and ship repairs.

“This initiative is forecasted to create at least 45,000 direct and indirect jobs and uplift local businesses in logistics, ship repair, construction, and services,” said MEG executive chairman Datuk Dr Daing A Malek.

The project, supported by both federal and state governments, was inaugurated by His Majesty Sultan Ibrahim Sultan Iskandar and attended by Prime Minister Datuk Seri Anwar Ibrahim, who confirmed that Maharani Freeport is now gazetted as a free zone and officially open for business.

MEG will serve as master developer, landowner, and port operator, with the freeport governed by its own authority and a one-stop investor facilitation centre.

Maharani Freeport complements Johor’s energy ambitions, joining the Pengerang Integrated Petroleum Complex (PIPC) on the east coast, which hosts refineries, petrochemical plants, storage terminals, and LNG facilities. Its strategic location along the Strait of Malacca—where over 100,000 vessels traverse annually—positions the freeport as a regional hub competing with domestic and international corridors, including Singapore.