KOTA KINABALU: A Memorandum of Understanding signed between the Sabah government and a China-based firm is for a due diligence study on flood mitigation projects in the state.
State Agriculture, Fisheries and Food Industry permanent secretary Datuk Robert Stidi said the study by Shaanxi Construction Engineering Group Corporation Limited (Shaanxi Construction) will assess the feasibility of flood mitigation, irrigation, and drainage projects in the state.
"However, it is important to emphasise that the signing of the MoU does not signify a finalised investment agreement or commitment from either party to conduct any projects arising from the findings of the due diligence study.
"Any future developments from this MoU will be subject to rigorous evaluation and consultation with relevant stakeholders to ensure that it aligns with Sabah government's priorities and values," he said in a statement.
He was commenting on reports following the signing of the MoU this morning which implied that billions of ringgit in investments have been secured from Shaanxi Construction.
Earlier, Deputy Chief Minister Datuk Seri Jeffrey Kitingan witnessed the signing of the MoU.
At the event, Jeffrey, who is also the state agriculture, fisheries and food industry minister, said the study will focus on 11 rivers including the Moyog, Petagas, Putatan, Likas, Tawau, Bandau, Kedamaian, Membakut, Padas, Pegalan, and Dataran Bengkoka rivers.