BORNEO’S MARINE PARADISE :                                                                     


Kalumpang River, Balung, Tawau

Asiatic’s Sipadan Mangrove Resort

Sipadan Mangrove Resort Expansion Project
Kalumpang River, Balung, Tawau

This is a RM2.5 billion project by a China-based company Diving Best

Sipadan Mangrove Resort is an integrated tourism development project of Sabah Government in Semporna under Sabah Economic Development and Investment Authority (Sedia)

Sipadan Mangrove Resort Expansion Project would be developed under five zones --
1- a residential area,
2- commercial development,
3- high-end resort,
4- diving school and
5- an administrative centre.

Sabah Economic Development and Investment Authority (Sedia) said the project with Diving Best (China) is an expansion of the existing Sipadan Mangrove Resort (SMR).

Diving Best is best known for its Sanya Diving Training Centre in Sanya City, Hainan Province, in China.

Sipadan Mangrove Resort (SMR) is an entry point project listed under Sabah's regional cities and corridors programme, with an estimated investment value of RM491 million and set to generate RM114.9 million in gross national income by 2020.

The collaboration between Diving Best (China) and SMR (Malaysia) to expand the resort is the result of a match between investors from China and a local business partner.

The project will be carried out on a 112ha private land belonging to SMR.

The location in Sungai Kalumpang was chosen because of its proximity to Sipadan Island, which is a 35-minute boat ride from the mainland.

Under the project, Diving Best expects to attract one million tourists annually, create 4,000 jobs and house a population of 12,000 within the project location.

The Island of Sipadan was a highly protected area and no structure was allowed to be constructed either on the island or around it.

January 14, 2014, Tuesday RM2.5 billion tourism project in Semporna, not Sipadan – SEDIA

Read more:

15 January 2014  Tourism project to take shape in Semporna


Go eco-friendly with Asiatic’s Sipadan Mangrove Resort
A completely eco-friendly resort in development that promises the absolute usage of natural resources and encourages biodiversity is on its way to welcome tourists to Sabah.

Posted on 18 September 2012 by Francesca Tay

Sipadan Mangrove Resort
Sg. Burong, Kalumpang, Tawau, Tawau, Malaysia 91019

Resort Packages available :

3D2N Non Diver Package (Mangrove/Lake Villa)

3D2N Diver Package (Mangrove/ Lake Villa)

3D2N Non Diver Package (River Villa)

3D2N Diver Package (River Villa)

3D2N Non Diver Package (Grand Villa)

Repair muddy Tawau road, urges DAP YB

Daily Express Online : Monday, July 22, 2013

Sri Tanjong Assemblyman Chan Foong Hin urged the authorities to repair Jalan Sungai Burong as the road is vital for the oil palm industry as well as tourism industry in the district. The muddy road, which is used by an oil palm factory, estates and several oil palm collection centres, is gravelled up to two kilometres only.

"This situation is very difficult for loaded oil palm trucks especially during the rainy seasonÉ the same applies to a resort which is the Sipadan Mangrove Resort (SMR) that shares the same path...If the road is left as it is, SMR may never be developed and at the same time, road users' welfare is ignored,"

Sri Tanjong Assemblyman Chan Foong Hin

Chan said the Federal Government through the Secretariat of Public Private Partnership (UKAS) in 2012 had approved an allocation of RM48,980,000 for the construction of a paved road along the 28 kilometres from the junction of Jalan Balung-Lahad Datu to Sipadan Mangrove Resort (SMR) for the success of the resort.

Announcement of the provision, he said, took place in September 2012 during the opening of the SMR but nine months later, there is still no positive progress on the construction of the Sungai Burong road. This project should be completed in April 2014 as announced.

The Sipadan Mangrove Resort (SMR) with RM441 million investment value, built at the end of the Sg Burong road is an Entry Point Project (EPP) under the Economic Transformation Programme (ETP). The aim is to provide for a travellers' stopover before going to Sipadan Island which is only 30-minutes boat ride. The project is expected to create 334 jobs and help develop tourism in Tawau.

SIPADAN MANGROVE RESORT (SMR)                                                             

Sg. Burong, Kalumpang., 91020 Tawau
+6089-755688 ; +6019-8846388

Located on the banks of Sungai Kalumpang, just 30 minutes boat ride from Sipadan Island, Sipadan Mangrove Resort (SMR) has been developed as a new gateway to Sipadan Island by providing facilities to cater for high-end divers.
Besides catering to divers, SMR plans to also provide facilities for recreational activities for family members of the divers.

The SMR includes a 200-acre Aquaculture Park and 700-acre Mangrove Reserve island, rich in both natural mangroves and wildlife, providing an unbeatable eco-tourism experience to guests and nature lovers. SMR has also allocated a specific area for the development of marina and yacht facilities.

SMR plans to support Research & Development activities on Mangrove and Coral as part of its sustainability and conservation efforts. Support infrastructure such as basic laboratory facilities, a research centre and intepretation rooms have been planned.

The calm sea in the area is suitable to promote sea activities and seaplane transport. SMR also has a helicopter (R44) which could be deployed to provide joy-rides around Sipadan Island.

The first phase of the development has been completed and is now entering phase 2 with construction of new resorts and chalets:

"The Sipadan Mangrove Resort (SMR) project is creating a new Gateway to Sipadan by offering a wide range of eco-tourism features, appealing not only to diving enthusiasts, but also the other market segments. It supports the tourist market for the Sipadan Islands, and provides tourism products for higher-end consumers, drawing higher yield as aspired by the ETP for the tourism industry. SMR SdnBhd has realized around RM190 million for the project as to date. The first phase of the development has been completed and is now entering phase 2 with construction of new resorts and chalets."

ON 13TH APRIL 2012

Sabah is among the most active states in bidding for Faciliation Funds under the PPP programme. By 2012, RM459.2 million in facilitation funds for six projects have been approved:

1) Sipadan Mangrove Resort,
2) Tawau Green Energy,
3) International Technology and Commercial Centre,
4) Sabah International Convention Centre,
5) Integrated Development of Gleneagles Medical Centre,
6) Dalit Bay Integrated Tourism Resort.


A New Gate Way to Sipadan with appropriate facilities catering high end divers. Beside catering for the divers, SMR plans to also provide facilities for recreational activities for the family members of the divers. The 200 acres Aquaculture Park and 700 acres Mangrove Reserve island would potentially provide new eco-tourism experience to the guests. Not forgetting, there are many animals rooming freely around the up river which could also be turned into an attraction for nature lovers SMR plans to support R&D activities on Mangrove and Coral as part of the conservation efforts. To this end, facilities such as basic laboratories facilities, research centre and interpretation rooms would be provided The calm water at the sea provide another opportunity to promote sea activities and also the transportation of using sea plane. SMR has a helicopter (R44) which could be deployed to provide “joy-ride” trip round Sipadan island. Included in the master plan, SMR has allocated areas for marina facilities for yacht


• Achieve tourist spending to RM2,100/day by 2020.
• Achieve at least 50% average daily occupancy rate at the resort by 2020.
• Provide 100% F&B services to all guests.
• Have at least 50% of guests spending for leisure activities provided i.e. water activities, scuba diving, and helicopter daily by 2020.
• Achieve at least 50% average daily usage rate at the marina by 2020.
• Job opportunities = 2,825.
• Quality jobs for locals for marine-based tourism e.g. marina and spillover effects e.g. yacht and boat repairs.
• Social benefits: R&D opportunities for nature conservation purpose; nature awareness through river cruising and mangrove trails.


• Safety risk due to wildlife in the river.
• Road conditions and access from public main road.
• Mangrove and marine conservation.
• Possibly disruptive power supply.
• Compliance and licensing for marina and possible aviation operations.


• Aggressive promotions and marketing e.g. target for Hong Kong and China for divers’ market, then for other long haul markets.
• Produce high-value seafood and crops at the aquaculture and organic farm.
• Gain support from authorities in river control, marina development, and aviation service provision (seaplane?).
• Liaise with universities and research bodies to set up research initiatives.
• Public Funding.
• Set up mangrove conservation centres, nature trails, etc. with the advice from Forestry Department.
• Complete construction of the resort.


• Consideration to construct water gate/net to block crocodiles coming downstream. This may disrupt villagers’ life – still in consideration.
• Public funding to upgrade access road.
• Promote involvement from universities and research bodies to set up research centres here to spearhead conservation initiatives.
• Renewable energy generation – wind, biomass gastification.
• Work closely with authorities to ensure compliance.

HOTELS IN EAST MALAYSIA  Monday, May 25, 2015 11:45:57 AM

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