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Proposed terminal needed as it reaches full capacity

11 November, 2008

The Negri Sembilan government has proposed that an airport be built to replace the low-cost carrier terminal (LCCT) in Sepang.

Mentri Besar Datuk Seri Mohamad Hasan said the state had held talks with Sime Darby Group and AirAsia over the matter.

"We are all agreeable that we need a new airport to replace the LCCT," he said at a press conference yesterday.

A working paper had been submitted to the Transport Ministry.

Mohamad said although the authorities had in principle agreed to the proposal, a comprehensive paper would be tabled to the Cabinet for final approval.

The construction of the new airport, on a 2,800ha area at the state's central corridor in Labu, would be financed by the private sector, he said.

"AirAsia is already facing some difficulties at the LCCT as its volume of passengers has almost reached full capacity. This way, Negri Sembilan will also have an airport of its own," he said.

The three parties hoped to start talks with Malaysia Airports Bhd soon.

Sime Darby owns the land where the proposed airport would be built.

Mohamad said the state came up with the idea after the Federal Government rejected a request from AirAsia to move its operations to the old aiport in Subang.

Asked if it was viable for the state, Sime Darby Group and AirAsia to proceed with the project amid the uncertain economic outlook, Mohamad said it was a good time to do so as construction costs would be low.

Mohamad said that with the completion of the dual-track rail project between Seremban and Gemas by 2012, more people would relocate to the southern part of the state and the demand for air travel would also increase.

This article is a verbatim copy of the original article from The Star.

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