Berita Kumpulan Yayasan Sabah Vol.4/2010 (Oktober-Disember 2010) by Yayasan Sabah Group

ON THE

2010

RED CARPETANNUAL DINNER Free Distribution

October - Disember 2010

Volume 4/2010

44 STAFF CELEBRATE THEIR SILVER JUBILEE WORKING WITH YAYASAN SABAH GROUP AT THE 2010 ANNUAL DINNER

From left: Datuk Dr. Johan Arriffin Datuk Hj. Abd. Samad, Deputy Director of Yayasan Sabah, Douglas Joinol, Senior Manager, Project Monitoring and Bumiputra Participation Unit, Tan Sri Datuk Khalil bin Datu Hj. Jamalul, J.P., Director of Yayasan Sabah, Dr. Karim Hj. Samsuri, Corporate Secretary, Haji Mapiati Sulit, Group Manager Internal Audit Division & Andi F.K. Toyong, Senior Group Manager, Financial Services & Investment ( Group).

YB. Datuk Haji Sukarti Wakiman, Sabah State Secretary cum Member of the Board of Trustees of Yayasan Sabah & wife Datin Hajah Hairani bte. Hussaini.

The Right Hon. Chief Minister of Sabah cum Chairman of the Yayasan Sabah Board of Trustees Datuk Seri Panglima Musa Hj. Aman.

Standing in the middle is the Right Hon. Chief Minister of Sabah cum Chairman of the Yayasan Sabah Board of Trustees Datuk Seri Panglima Musa Hj. Aman(in red stripe batik) flanked by Director of Yayasan Sabah Y.Bhg.Tan Sri Datu Khalil bin Datu Hj. Jamalul, J.P (in green batik).

Datuk Sam Mannan, Director State Forestry Department cum Member of the Board of Trustees of Yayasan Sabah.

EDITORIAL BOARD

Puan Sri Khairah Khalil, wife of Director of Yayasan Sabah

ADVISOR Hjh. Rosmawati Hj. Lasuki, J.P.

Hajah Rosmawati Hj. Lasuki, J.P., Senior Group Manager, Human Resource & Corporate Services

Tuan Haji Mohd. Daud Tampokong, Group Manager Forestry Division.

Dr. Doreen Goh, Group Manager, Biotech & Horticulture Division

Tuan Haji Sulaiman Hj. Osman, Head of East Coast South Zone Office

CHIEF EDITOR Linah Robert COPY EDITORS Veronica Lim, Lucy Yee LAYOUT DESIGN, Tan Na Na, Alastair N. Peter PHOTOGRAPHERS Samson Lawrence, Jeffrey Baxter CONTACT INFORMATION AND DISTRIBUTION : Corporate Communications Division Yayasan Sabah Group, Level 15, Menara Tun Mustapha, Yayasan Sabah Headquarters Complex, Likas Bay, 88400 Kota Kinabalu, Sabah, Malaysia Tel : 088326427 / Fax : 088326424 Website: http://www.ysnet.org.my E-mail: ysinfo@ysnet.org.my

Bashir Nawab Khan of the Sports & Recreation Unit Linah Robert, Group Manager, Corporate Communications Division

Ainahwati Abdul Sani, Senior Company Secretary.

Pauline Unsoud, Secretary in the Yayasan Shipping Sabah Group

Susan Malagob, Senior Officer, Management Services Unit

Produced by Yayasan Sabah Group, Corporate Communications Division. Printed by Percetakan Demasuco Sdn. Bhd (467054-K) Tel: 088 436111,088 436555

Haji Mapiati Bin Sulit of the Internal Audit Division, Douglas Joinol of the Project Monitoring and Bumiputra Participation Unit, Kenny Chiew of Innovision (PNG) Ltd, Zaidah Hussain of Yayasan Sabah Branch Office Kuala Lumpur, Shariffah Omar Curreem of the Financial Services & Investment (Group) and Adrin Banting of the Legal Unit led the illustrious list of Yayasan Sabah Group staff celebrating their Silver Jubilee with the Organization at the 2010 Annual Dinner. It was held at the Magellan Sutera Harbour Hotel on 20 December, 2010. The other Silver Jubilee staffs are: Dayang Simagan Binti Mesu of the Education Development Division, Kaseh Binti Ajik of the Education Development Division, Musalim Bin Tua of the Education Development Division, Pernama Binti Budin of the Education Development Division, Jupilin Bin Gilau of the Research & Economic Development Division, Kasmer Kuor Karam Singh of the Child Development Division, Raynold Imbayan of the Child Development Division, Hailanah Binti Mohamad Tahir of the Corporat Secretariat Division, Noorsia Binti Gani of the Financial Services & Investment (Group), Praxedes John Matayun @ Felicia of the Financial Services & Investment (Group), Rose Mary Julius @ Octavia of the Financial Services & Investment (Group), Ting Ming Chu of the Financial Services & Investment (Group), Gerard Clement Mojiliu of the Human Resource Management, Human Resource & Corporate Services (Group), Inne @ Annie Binti Sipaut of the Administration Unit, Human Resource & Corporate Services (Group), Norbaini Binti Haji Jifli of the Administration Unit, Human Resource & Corporate Services (Group), Juanis Tinggal of the Information Communication & Technology Unit, Human Resource & Corporate Services (Group), Zainab J. Abdullah of the Human Resource Development Unit, Human Resource & Corporate Services (Group), Sipin Bin Dambong of the Interior South Zone, Mary Agnes Stephen of the Interior North Zone, Paulus Laison of the Forestry Division Kota Kinabalu, Stella Maurice of the Forestry Division Kota Kinabalu, Boljen Majingin of the Forestry Division Sandakan, Thaijuddin Bin Jeman of the Forestry Division Sandakan, Abdul Wahab Bin Abdul Latip of the Forestry Division Tawau, Sainabeh Binti Mohd Ali of the Conservation & Environmental Management Division, Juliana Tivit of the Corporate Business Development Division, Julita Binti Wincislous of the Company Secretary's Office, Chang Siew Mee @ Jenny Chang of the Financial Services & Investment (Group), Chin Fui Ling @ Lucy of the Financial Services &

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Investment (Group), Jessel Bin Aloysius @ Kamijan of the Information Communication & Technology Unit, Human Resource & Corporate Services (Group), Razak Bin Abd Majid of the Information Communication & Technology Unit, Human Resource & Corporate Services (Group), Lajubit Bin Kidot of the Administration Unit, Human Resource & Corporate Services (Group), Nasib @ Ismail Bin Dullah of the Administration Unit, Human Resource & Corporate Services (Group), Somineh Sipin of the Management Services Unit, Human Resource & Corporate Services (Group), Agnes Simon of the Yayasan Sabah Shipping Sdn Bhd, Alban Sandor @ Alfred of the Yayasan Sabah Shipping Sdn Bhd, Pauline Unsoud of the Yayasan Sabah Shipping Sdn Bhd, Voo Shau Fong @ Eddie of the Yayasan Sabah Shipping Sdn Bhd.

THANK YOU FOR YOUR SERVICE “JASA MU DI KENANG” At the Yayasan Sabah Group 2010 Annual Dinner held at the Magellan Sutera Harbor Hotel on 20th December, 2010 six staff were recognized and awarded a Thank You Certificate of Appreciation Jasa Mu Di Kenang for their contribution during their service with the Organization. This was their farewell to the organization upon their retirement. They were presented with the Thank You Certificate of Appreciation by The Right Honorable Chief Minister cum Chairman of the Yayasan Sabah Board of Trustees Datuk Seri Panglima Musa Haji Aman.

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Yayasan Sabah reiterated its COMMITMENT IN EMPOWERING THE SOCIETY THROUGH EDUCATION At the 28th GRADUATION CEREMONY OF YAYASAN SABAH'S CHILD DEVELOPMENT DIVISION Yayasan Sabah believes that human capital development is the main thrust of the development of a nation. The quality of human capital is enhanced by their mental development through education and training. With this belief, Yayasan Sabah Group is committed to undertake various relevant programmes to produce a dynamic and empowered society at the global level through the provision of education, skills and self-confidence to the people.

Yayasan Sabah Group reiterated its commitment in empowering the society through education at the 28th Annual Graduation Ceremony of its 17 Preschool children, 22 Kindergarten students, 21 Coeducation Kindergarten (full day) students, and 11 students from its Kristal Ria Taska. This message of the Director of Yayasan Sabah, Tan Sri Datu Khalil bin Datu Haji Jamalul, J.P. was delivered by his Deputy Datuk Dr. Johan Arriffin Haji Abdul Samad at the Auditorium Tun Raffae, Menara Tun Mustapha on 9 November, 2010.

The Graduating children performing as robots showing their creativity

Mr. Utok Bin Ning, Forestry Division, Lahad Datu 1971- 2010

Mr. Sudiro Bin Namong Forestry Division, Lahad Datu 1972- 2010

Mr. Vincent Pang Juwitabah Sdn. Bhd. 1989- 2010

The Graduation Ceremony was graced by Y.B. Datuk Hajah Jainab Datuk Seri Panglima Haji Ahmad Ayid, the Assistant Minister of Resource Development and Information Technology. With her to present graduating certificate is Y.Bhg. Datuk Dr. Johan Arriffin Haji Abdul Samad, Deputy Director of Yayasan Sabah

Performances of the Graduating children

Mr. Ismail Bin Tasang Forestry Division, Lahad Datu 1972- 2010

Mr. Gilbert Lim Thian Siong Property Management and Maintenance Division 1980- 2010 2

Mr. Pilimon Bin Angkangon Forestry Division, Keningau 1990- 2010

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NEW METHODOLOGY TO VERIFY CARBON CREDITS AT INFAPRO

will have a significant impact on the feasibility of rainforest rehabilitation projects and create an incentive for preventing re-logging,” said Denis Slieker, Managing Director of Face the Future.

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262 GRADUATES AT KOLEJ YAYASAN SABAH'S 15TH CONVOCATION

Yayasan Sabah Group Innoprise-Face (Forest Absorbing Carbon Dioxide Emissions) Foundation (Dutch) Rainforest Rehabilitation Project (INFAPRO) in the Ulu Segama Forest Reserve in the Yayasan Sabah Concession Area is among the first to use a new methodology to generate Voluntary Carbon Standards (VCS) verified Carbon Credits. The methodology was developed by 'Face the Future', the Dutch forest carbon project developer formerly known as Face Foundation working with Yayasan Sabah Group for the past 18 years on INFAPRO. Face the Future is already applying the methodology at INFAPRO. 'We are currently working on the required project documentation and carbon inventory in the field. In the first half of 2011 we will initiate the validation and verification of the project so that ultimately carbon credits can be used,” said Martijn Snoep the Project Manager.

Yang Berbahagia Tan Sri Datu Khalil bin Datu Haji Jamalul, J.P. Director of Yayasan Sabah cum Chairman of the Board of Governors of Kolej Yayasan Sabah (right) presenting a mememto to Yang Berhormat Datuk Masidi Manjun(left) for gracing the 15th Kolej Yayasan Sabah Convocation.

Yayasan Sabah Group Senior Manager of the Conservation and Environmental Management Division, Dr. Yap Sau Wai (right) explaining to Denis Slieker (left) the progress of the INFAPRO trees. Standing behind is Martijn Snoep.

To be approved under the Voluntary Carbon Standard Programme, the methodology was independently assessed by two separate auditing bodies: Scientific Certification Systems (SCS) and Bureau Veritas Certification. Voluntary Carbon Standard is a widely used standard for accounting of carbon reductions and removals in the voluntary market. Projects developed according to Voluntary Carbon Standard criteria have demonstrated practical ways to curb emissions across a range of sectors, generating over 40 million tons of carbon credits to date. Scientific Certification Systems has been a global leader in third-party environmental and sustainability certification, auditing, testing and standards development for more than 25 years. Scientific Certification Systems programmes span a wide crosssection of industries, recognizing achievements in green building, project manufacturing, food and agriculture, forestry and retailing.

Martijn Snoep (left) being shown the fast regeneration rate of plants at INFAPRO by Yayasan Sabah Group Project Manager of INFAPRO, Jaludin Abun. (in red t-shirt)

This new forest carbon accounting methodology, only the third forest carbon approach specifically approved under the Voluntary Carbon Standard Program is designed to quantify emission reductions from projects that avoid re-logging or rehabilitate loggedover forests by cutting climbers and vines, liberation thinning and enrichment planting.

INFAPRO was established in 1992 to promote planting of 25,000 hectares of logged-over forests to absorb carbon dioxide from the atmosphere. To date, under INFAPRO, 11,600 hectares of the logged over forest have been rehabilitated.

“With this methodology a whole new type of valuable projects can attract carbon finance. Carbon revenues 18

“I am confident that Kolej Yayasan Sabah's aspiration to achieve University College status will be expedited with the completion of its new campus in 2013", says The Right Honorable Chief Minister of Sabah cum Chairman of the Yayasan Sabah Board of Trustees at the 15th Convocation of Kolej Yayasan Sabah at the Tun Ahmad Raffae Auditorium, Menara Tun Mustapha on 30 November, 2010. The Chief Minister said this in his speech delivered by State Tourism, Culture and Environment cum Minister-in-

Charge of Education, Yang Berhormat Datuk Masidi Manjun. The new campus of Kolej Yayasan Sabah at Sembulan at a cost or about RM47 million is expected to be completed in 2013. The new Campus will be able to accommodate 4,000 students at any one time. At the moment, Kolej Yayasan Sabah has a population of about 2,200 students. Presently, its City Campus is at Sembulan and its Campus B is adjacent to the Dewan Bahasa dan Pustaka, Jalan Sulaman, Likas.

Henleia Modius (left) received the Gold Medal for being best student and Chief Executive Award for outstanding results in the YS-UTM Diploma of Te c h n o l o g y M a n a g e m e n t (Accounting) from Datuk Masidi Manjun. She brought home award certificates and cash

Khairul Zulfadli Patin (left), received the Chief Executive Award and cash of RM500.00/for achieving above 3.7 point grade average in all six semesters in the Kolej's A u t o m o t i v e Te c h n o l o g y Diploma from Datuk Masidi Manjun. 3

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YAYASAN SABAH - THE FIRST IN MALAYSIA TO CONTRIBUTE TO REDD THROUGH ITS INFAPRO IN ULU SEGAMA IN THE YAYASAN SABAH FOREST CONCESSION AREA AS EARLY AS 1992 the international bodies and corporations to invest in the REDD effort here in Borneo, especially Sabah?

INFAPRO Innoprise-Face Foundation Rainforest Rehabilitation project is a collaborative project between Innoprise Corporation Sdn Bhd and the Forest Absorbing Carbon Dioxide Emissions (FACE) of the Netherlands. Started in 1992, severely degraded forests are planted with indigenous dipterocarps and wild fruits species to absorb Carbon Dioxide from the atmosphere.

The two days International Conference was organized by the Sabah Forestry Department together with WWF at the Magellen Sutera Harbour on 8 and 9 November, 2010. Yayasan Sabah Group through its Forestry Division and Conservation & Environmental Management Division rightly participated the Conference Exhibition aptly titled “Now or Never for Carbon Bargain”.

This is what the International Conference on Forests and Climate Change Decoding and Realizing Reduced Emissions from Deforestation and Degraded Forest (REDD plus) is all about. Can Sabah get the interest of

Y. Bhg. Tan Sri Datu Khalil bin Datu Haji Jamalul, J.P., Director of Yayasan Sabah (middle) explaining to the Deputy Chief Minister of Sabah Yang Berhormat Tan Sri Datuk Seri Panglima Joseph Pairin Kitingan(far left) about Yayasan Sabah's REDD efforts especially its InnopriseFace Foundation Rainforest Rehabilitation Carbon Absorbing Project (INFAPRO) and its Reduced Impact Logging methods. Joining in the briefing is Yayasan Sabah Forestry Division Group Manager, Tuan Haji Mohd Daud Tampokong (far right).

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INFAPRO 10th Steering Committee Meeting 14 November, 2010 INFAPRO's excellent achievement and experience is now emulated elsewhere by various institutions in the region including the Sabah Forest Department, WWF Malaysia and other Forest Management Unit holders. Rehabilitation of logged rainforest is one way of contributing to sustainable forest management and a better environment. It is also to combat green house effect and mitigate climate change. The 10th Steering Committee Meeting of Innoprise Face (Forest Absorbing Carbon Dioxide Emissions) Foundation (Netherlands) Rainforest Rehabilitation Project commonly referred to as INFAPRO started with FACE Director, Mr. Denise Slicker informing the Committee that FACE Foundation has been privatized adopting a new name - "FACE THE FUTURE". The change in name is to be more relevant and current today, said Slicker.

Logged over untreated, untended forest with stunted growth.

INFAPRO Yayasan Sabah Group in collaboration with FACE THE FUTURE in INFAPRO will rehabilitate 25,000 hectares of logged tropical rainforest in Sabah over a period of 25 years effective July 1992. The activities carried out are large scale enrichment planting of dipterocarps as well as the tending of naturally regenerating dipterocarp seedlings, other non dipterocarp commercial timber and local wild fruit species. Logged over forest being rehabilitated with enrichment planting of choice seedlings, and tended with climbers cuttings to enhance growth.

Former Prime Minister of Malaysia, Yang Amat Berhagia Tun Dato' Seri Abdullah bin Haji Ahmad Badawi (far right) and standing next to him Yang Amat Berbahagia Tun Datin Seri Jeanne binti Abdullah also visited the Yayasan Sabah Group Exhibition Booth. They were received by Y. Bhg. Tan Sri Datu Khalil bin Datu Haji Jamalul J.P., Director of Yayasan Sabah (second from left). On the far left is Yayasan Sabah Group Manager, Forestry Division Tu a n H a j i M o h d D a u d Tampokong. On the right of Y. Bhg. Tan Sri standing behind Tun Jeeane Abdullah is Yayasan Sabah Group Manager, Conservation and Environmental Management Division Dr. Waidi Sinun.

planting stock a second nursery has been set up nearby at Lumpadas River that can hold up to 150,000 seedlings at any one time.

INFAPRO nursery

In 2007, initial tests were carried out that shows the amount of carbon gained at INFAPRO selected plots at that time is about 135 ton Carbon per hectare. Tests done in 2010 shows carbon gained is 148 ton Carbon per hectare. Roughly untreated logged over forest carbon produced is at 115 ton Carbon per hectare. More tests will be carried out periodically to get a better gauge as the project progresses and matures. Yayasan Sabah Group and the State Government are now looking into big corporations/institutions/bodies around the world to get carbon credits for our efforts in reducing carbon dioxide emissions from degraded forests and deforestation.

The INFAPRO nursery at KM 58, Danum So far, INFARPRO has replanted 11,600 hectares of Valley can hold up to one million seedlings at any degraded forest land. Once Voluntary Standard Carbon (VSC) one time for the rehabilitation of the designated Certification is achieved, the aim of INFAPRO is to further areas. But, due to the increasing demand for expand its acreage in 2012. 17

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Yayasan Sabah Group Biotech’s Diversification Into Orchids Micropropagation In addition to Teak and Acacia, this year, Yayasan Sabah Group Biotech’s has invested much effort in carrying out research works on selected species of orchids indigenous to B o r n e o s u c h a s ( i ) Ti g e r O r c h i d (Grammatophyllum speciosum), the world’s l a rg e s t o r c h i d : ( i i ) M o o n O r c h i d (Phalaenopsis amabilis), one of the most important ancestral species of the Phalaenopsis hybrids, and (iii) slipper Orchid (Paphiopedilum spp), currently listed as Totally Protected Species under the Wildlife Conservation Enactment 1997. The rationale behind these works is to do our part in the conservation of these orchid species, bearing in mind, that their population in the wild is dwindling quickly due to over harvesting and/or habitat disturbance. Slipper Orchid in particular, is now facing potential extinction. Yayasan Sabah Group Biotech’s embarked on the development of micropropagation protocols including somatic embryo genesis for these orchids species as the conventional method by seed source is limiting due to poor or total absence of germination and/or availability of seeds. As Slipper orchid is protected by legislation, approval from the Ministry of Tourism, Culture and Environment is necessary for the research and development of this species. Once ex-plant materials in the form of fruits or flowers are available, in-vitro experiments is carried out. To date, much success has been obtained from seed germination of the Tiger and Moon Orchids conducted at the Yayasan Sabah Group Biotech’s lab. A few hundreds seedlings of both species are now under development stages. Their eventual transfer to ex-vitro conditions in the nursery is expected in the near future.

Endangered Slipper Orchids; the flower resembles a lady's slipper.

A blooming Moon Orchid; hybrids of this genus are of great economic value as house/garden plants and cut flowers.

Yayasan Sabah Group Biotech’s recent participation at the 2010 Borneo Orchid Show at Suria Sabah from 1-5 October to showcase the results of our research activities on these species was met with much enthusiasm by the general public. Positive feedbacks from both orchid hobbyists and collectors alike regarding our works were also received, highlighting the commercial potential of orchids in general.

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YAYASAN SABAH GROUP FORESTRY DIVISION AS MENTOR Yayasan Sabah Group Forestry Division was given the recognition and honor by the Department of Safety and Health (DOSH) Sabah/Labuan to conduct a Mentor Mentee program between its Lahad Datu Forestry Regional Office and its contractors. The Yayasan Sabah Group Regional Forestry office was chosen to be the Mentor to the Mentees i.e. four contractors - Asia Lumber Industries Sdn Bhd, Takat Bistari Sdn Bhd, Kontraktor Malaysia, and Plus Greenworld Sdn Bhd. The program was conducted 22 - 26 March, 2010. The objective of the program is for the experienced Yayasan Sabah Group's Forestry Division to provide guidance to these contractors who have not been exposed to the necessary requirement and regulations of the Occupational Safety and Health Act 1994. Director of Yayasan Sabah, Y. Bhg. Tan Sri Datu Khalil bin Datu Haji Jamalul, J.P. said this is no coincidence. Since the beginning of operations in the seventies, the Yayasan Sabah Group has been practicing and implementing good governance in all its endeavors. Along this line, the group has been carrying out research continuously to improve its services and Y. Bhg. Tan Sri Datu Khalil management system for bin Datu Haji Jamalul, J.P. Director of Yayasan Sabah sustainable development. Yayasan Sabah Group Forestry Division is successful in implementing current government ordinances and carrying out new systems where necessary. For example, the Director said Yayasan Sabah Group's Reduced Impact Logging is a model that is being used by the government in the Y. Mulia Tuan Haji Mohd Deramakot Forest Daud Tampokong Group Manager, Forestry Division, Management Unit (FMU). Yayasan Sabah In fact, Yayasan Sabah's very own FMUs 15 and 16 is very close to achieving full certification under the Forest Stewardship Council Gold Standard. Tan Sri Khalil added Yayasan Sabah Group Forestry Division has also come up with and introduced the Radio Frequency Logtracking System (RFID) for its Ir Mohamad Razak Ismail forestry activities in its Director, DOSH Sabah

Demonstration on the safety procedure to secure logs onto trucks

concession area. RFID Logtrams is a paperless system utilizing RFID tags to trace a piece of log from its stump to the point of sales and vice-versa. This reflects Yayasan Sabah's commitment and responsibility towards its forest operations and products. He said with this kind of tagging or label on the products, the market and consumer is able to make informed choices. Yayasan Sabah Group has handed over to the Sabah Forestry Department handheld data loggers together with computers and printers to facilitate the implementation of RFID Logtrams on a bigger scale. Tan Sri Khalil said the Forestry Division of the Yayasan Sabah Group has led in being innovative and creative and will continue to pioneer new developments to rise to the call of the government. 5

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REDUCED IMPACT LOGGING (RIL) Yayasan

Sabah Group introduced and practices a collection of harvesting techniques with the specific aim to achieve and maintain a low level of damage to the residual tree stock, soil and water, whereby the productive capacity and the biodiversity function of

the forest is sustained.

centimetres) to USD300 (more than 35 centimetres) per cubic metre.

Reduced Impact Logging reduces residual damage of the forest by up to 50 per cent in comparison to conventional logging methods.

"If you look at long-term investment point of view, and have excess money on the side and want to invest in something, go for teak because of its high value. "Good quality Grade A timber, those over 35 years, can even raked in USD1,500 to USD2,000 per cubic metre," she said. Goh added that good timber are in huge demand by India, China and European countries, though price may vary depending on wood quality (heartwood to sapwood ratio), from (straightness), knots presence and colour.

The Autoclave machines used to sterilize the culture media for the growth of plantlets to prevent contamination

Conventional Skid Trails shows the damage to the surroundings and floor of the forest.

Reduced Impact Logging Skid Trails shows new growth in just six months.

LOG FISHER RM198.00 per m3 using conventional methods. The productive capability is also lower at 103 m3 per hectare while the conventional method is at 139 m3 per hectare.

This is a method of harvesting using long cables to haul the logs out of the forest. This machine can haul the logs as far as 300m or more. The operation cost using this method is RM295.00 per m3 as compared to

"We cannot compete with oil palm, and it is difficult to get land." She admits, "but I suggest local planters to border planting for teak, you have nothing to lose."

Long-term and feasible investment Planting teak around the borders of oil palm plantations should be considered as a long-term investment.

Teak planting using clones is currently undertaken by Sabah Softwoods Bhd and Felda. Goh pointed out that Latin America even dedicates huge areas for planting teak despite the relatively long harvest time.

YSG Biotech Sdn Bhd group manager Dr.Doreen K. S. Goh pointed out that a cloned teak is even more valuable as it contains up to 85 per cent more heartwood to sapwood ratio.

She added that teak did not need much maintenance or extra cost, as the fertilizer applied for oil palm would benefit the teak as well.

"If we keep it for 30 years, I'm quite confident that it can fetch a high return." Goh did not deny that teak required at least 15 years before it can be harvested, compared to the three-year wait for oil palm to obtain a return on investment.

HELICOPTER - LOGGING Yayasan Sabah Group is the first in Sabah to carry out logging activities using Helicopter. This was carried out in the Kalabakan Forest Reserve in 2004. The Operation is fast and efficient, it can produced 175 m3 per hour in good weather condition. This translates up to 1500 m3 produced per day.

The Sikorshy S64E Sky Crane Helicopter can lift up to a maximum weight of 16,000 lbs or 8 tonnes. Even though the operation cost is at RM389 per m3 which is twice the conventional cost, Yayasan Sabah Group is committed to carry on this project until 2014.

However, the high value of teak, coupled with the demand for good quality timber, ensures the feasibility of the investment.

Goh further said teak require a soil pH of 5.5 and above, deep soil, preferably a mixture of alluvial soil and a rainfall of at least 2,500 mm per year to grow. A teak plantlet kept in the culture room six weeks.

their teak trees, and get double or even triple value for their land use." By Chok Sim Yee, Borneo Post

Teak logs, aged 10 years in Sabah are currently sold at the price range between USD100 (log size of 14 to 20

Senior research officer Soh Wan Ru checks on the plantlets which will be kept in the misting Nursery up to four weeks for the roots to grow.

"When planters replant oil palm trees after 25 years, they can harvest

The whole process can take up to a year for the teak to become field-ready.

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Why teak planting never took off in Sabah

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Darden Aquafarm Inc. Collaboration with the Yayasan Sabah Group.

Director of Yayasan Sabah, Tan Sri Datu Khalil bin Datu Haji Jamalul, J.P. (Left) stressing a point on the potential of the aquaculture industry in Sabah to Chief Executive of Darden Aquafarm Inc, Mr. Bill Herzik (right).

Dr. Doreen K. S. Goh, Group Manager , Biotech & Horticulture Division

Goh (right) and senior research officers inspecting the plantlets stored in the culture room.

under in vitro conditions, multiplication of responsive explants, and finally to mass production of selected clones.

Teak is pricey. But the teak planting in Sabah never really took off despite the high value of the timber. Dr. Doreen K. S. Goh, Group Manager of Yayasan Sabah Biotech Sdn Bhd which is under the purview of Biotechnology & Horticulture Division of Yayasan Sabah Group explained that the reason was that planters used unselected seedlings in the early days, and have no control on the quality of teak.

Exports are in the form of bare-rooted tissue culture plantlets, while field-ready plants in polybag are available for local planters. The plantlets are sold at RM3 each, while traditional way of planting cost between RM0.50 to RM1 for a seedling.

"If we look at smallholder plantations of more than 10 years in Tawau and Lahad Datu, the teak were poorly formed, very branchy and their growth overall was not as fast as they should have been."

Yayasan Sabah Group will be looking into establishing a lobster farm on the Island of Banggi, Kudat with an American Company Darden Aquafarm Inc. Darden Aquafarm Inc. called on Yayasan Sabah Director Y.Bhg. Tan Sri Datu Khalil bin Datu Haji Jamalul, J.P. at the latter's office to discuss the possibility of such a community project on 22 October, 2010.

Herzik said its first farming project in the State will be in collaboration with the Yayasan Sabah Group. Y.Bhg. Tan Sri Datu Khalil said he hopes the collaboration will become a reality in the very near future. He said this shows Yayasan Sabah is serious in playing its part in the development of the aquaculture industry because of its potential to boost the economy of the State.

Chief Executive of Darden Aquafarm Inc., Mr.Bill

YAYASAN SABAH GROUP ‘’QURBAN’’ ON HARI RAYA AIDIL ADHA Director of Yayasan Sabah, Tan Sri Datu Khalil bin Datu Haji Jamalul, J.P. was at hand to deliver the meat to about 60 staff and their representatives.

Despite the significant price difference, Goh said the clones are more predictable in their yield. Furthermore, the clonal option allows the control of quality in terms of bole straightness.

In Sabah, former Sabah Chief Minister, Datuk Harris Mohd Salleh initiated teak planting back in the 1970s. Teak planting efforts were also undertaken by planters in Peninsular Malaysia in the 1980s.

In his speech, the Director said, on this great occasion while we are thankful for what we have, we must not also forget those who are mourning for their loss during the floods, tsunami and other man-made and natural disasters around the world.

"With seedlings you only have 50 per cent of the genetic from the mother tree under control, you do not know how the father tree is.

However, Goh said the teak trees then were not as good in quality as expected, thus giving the public the wrong impression about the feasibility of planting teak.

All muslim staff of the Yayasan Sabah Group are automatically members of BAKIYS.

"In that respect, the yield is highly unpredictable and the growth is not homogenous." The option also enables the selection of clones that are faster in growth, thus reducing the harvest time from 25 years to around 15 to 20 years.

Located off Jalan Tuaran, Yayasan Sabah Group Biotech produces up to 1.5 million Solomon Island teak plantlets a year using tissue culture technology, also known as the in-vitro technology.

Australia, more specifically Queensland, has been the first and main client of Yayasan Sabah Group Biotech since 2002. More than one million baby teak plantlets were sold to Queensland. Yayasan Sabah Group Biotech also exports to Central and South America, Indonesia and Africa.

It was the only research center in Malaysia that has successfully cloned any selected teak genotype (genetic constitution) using tissue culture technology since 2002. The process involves selection of superior tree, collection of shoots and young branches from the selected tree, introduction and stabilization of explants

The company also propagates selected orchids as part of its corporate social responsibility. 14

Director of Yayasan Sabah Y. Bhg. Tan Sri Datu Khalil bin Datu Haji Jamalul, J.P. (left) handing over meat in plastic bag to Ms. Siti Hayun Padan, a staff of the Education Development Division of Yayasan Sabah, one of the many Recipients of the day.

The Muslim Welfare Body of Yayasan Sabah (Badan Kebajikan Islam Yayasan Sabah, BAKIYS) celebrated Hari Raya Aidil Adha in a big way by slaughtering eight cows as alms for those in need during the holy celebration. The oxens were slaughtered at the compound of the Child Development Division Yayasan Sabah Building on 18 November, 2010.

Staff praying over the sacrificial cow being slaughtered. 7

BERITA KUMPULAN YAYASAN SABAH

YAYASAN SABAH SHIPPING SDN BHD TO FORAY INTO THE OIL AND GAS INDUSTRY

BERITA KUMPULAN YAYASAN SABAH

Established in 1980, the library is built in memory of the contributions of the late Tun Haji Mohd. Fuad Stephens and his struggle in developing and uplifting the quality of life of Malaysians in Sabah, especially in improving education standard and knowledge. The library is open from Monday to Friday at 8.30 am to 5.00 pm and is closed on Saturday, Sunday and Public Holidays. To register as a member, the public may contact the library at 088326300 ext 1152 or check www.ysnet.org.my/ppbtfs@gmail.com Multimedia Services Center provides internet access, online databases such as EBSCO, ebrary, Bernama Library and more.

Executive Chairman Yang Berhormat Dato' Abdul Rahman Dahlan (left) signing the Memorandum of Understanding for Yayasan Sabah Shipping Sdn Bhd. On the far right is Chief Executive Officer Azmi Ahmad signing for Alam Maritim Resources Bhd. Witnessing the Signing Ceremony is Yayasan Sabah Corporate Secretary, Dr. Karim Samsuri (middle).

Signing for Yayasan Sabah Shipping Sdn Bhd, a Petronas Licensee, is its Executive Chairman Dato' Abdul Rahman Dahlan who said that there is a need to expedite the exploration, production and development of oil and gas resources in Sabah waters to ensure that Sabah will benefit from the oil royalty in a timely manner.

Yayasan Sabah Shipping Sdn Bhd and Public Listed Alam Maritim Resources Bhd signed a Memorandum of Understanding at the 27th Floor Conference Room of Menara Tun Mustapha on 22 October, 2010 to form a joint-venture company to explore offshore installation construction that includes pipeline replacement, pipeline repairs, shoreline approach, export facilities and offshore facilities.

Signing for Alam Maritim Resources Bhd is its Chief Executive Officer Azmi Ahmad. Alam Maritim is a Petronas Licensee for participating in tender for jobs in the country's oil and gas sector.

This partnership is perceived as a Sabah-based entity. According to Maybank Investment Bank Research dated 25 October, 2010, this joint venture may eye the sub-contracting jobs for the Sabah Oil and Gas Terminal (SOGT) project. This joint venture with its Sabahan connection has a decent chance to secure pipe-laying, maintenance and EPCC works. The turnkey SOGT contract worth USD700 million was not awarded to any Sabah-related companies. Instead, the job was given to the Samsung-Naim Holdings (a Sarawak company) consortium, which lacks the local (Sabahan) content.

Alam Maritim Resources is looking to leverage on its assets and technical know-how to undertake oil and gas projects in working together with Yayasan Sabah Shipping Sdn Bhd. The latter is of course keen to partner with the established industry player to ensure a significant level of localization and technology transfer to Sabah. Dato Abdul Rahman also said the proposed jointventure with Alam Maritim Resources Berhad also presents an excellent opportunity for the State Government to co-own strategic assets which are imperative in securing various oil and gas opportunities. He added, “I also expect this jointventure to be the catalyst for other Sabah-based Oil and Gas companies via a proposed vendor program to participate in the State's high exciting progress in this sector”.

The exchange of the signed documents between Yang Bernormat Dato’ Abdul Rahman Dahlan (second from left) and Azmi Ahmad (far right). Standing on the far left is Datuk Haji Safari Haji Abdul Manan, member of the Board of Directors of Innoprise Corporation Sdn Bhd and Chairman of Yayasan Sabah Shipping Sdn Bhd. Third from left is Yayasan Sabah Group Corporate Secretary Dr. Karim Samsuri. 8

The General Collection comprises materials on various fields such as management, economy, forestry, education and more.

The Library Garden - A place to read and relax

BERITA KUMPULAN YAYASAN SABAH

OVER 1,700 PUBLICATIONS OF WORLD BANK COLLECTION AVAILABLE AT YAYASAN SABAH TUN HAJI MOHD.FUAD STEPHENS BORNEO RESEARCH LIBRARY

BERITA KUMPULAN YAYASAN SABAH

RM350,000.00/- FOR TUMUNONG HALLU CONSERVATION AREA FROM SABAH SHELL PETROLEUM COMPANY LIMITED

The speech was delivered during the Official Opening of the New Memorial in Sandakan after the war in 1948. Another special material available in this collection is a book written by a Dutchman named De Roy in 1706, entitled “Borneo En Atchin in het jaar”.

Yayasan Sabah Research Library is proud to be the only library appointed by World Bank to have all official World Bank publications in particularly for East Malaysia. Since 1994, the library have received more than 1,700 publications from the World Bank. The collection consist of case studies, research papers, documents covering various subjects ranging from sociology, economic development, poverty eradication, forestry, environment, education to global currency.

Knowing the importance of preserving written publication with regards to Borneo, the library is a founding member of k@Borneo since 2002. k@Borneo is a collective effort with participating institutions from Brunei, Kalimantan-Indonesia and Sabah & Sarawak on identification and preservation of Borneo materials. Initial publications are already available online at www.kborneo.com.

Hjh Rosmawati Haji Lasuki (left) Yayasan Sabah Senior Group Manager, Human Resource and Corporate Services exchanging the signed Agreement with Puan Rowina Ghazali (right) Shell Malaysia General Manager, Corporate Affairs.

Yayasan Sabah Group signed an agreement with Sabah Shell Petroleum Company Limited for RM350,000.00/- to establish and build a research facility at the Tumunong Hallu Conservation Area to promote coastal forest, mangrove conservation and environmental education. The Agreement was signed at the Menara Tun Mustapha, 27th Floor, Conference Room on 23 November, 2010. Work on the facility is expected to start in January next year. It will be called Shell Tumunong Hallu Reception and Information Building. It will be owned and managed exclusively by Yayasan Sabah Group. The facility will have an exhibition hall, administrative office, refreshment area and restrooms.

The Agreement was signed on behalf of Yayasan Sabah Group by its Human Resource and Corporate Services Senior Group Manager, Hjh Rosmawati Haji Lasuki J.P. Shell Malaysia was represented by General Manager, Corporate Affairs, Puan Rowina Ghazali. At the signing of the Agreement, Hjh Rosmawati said conservation efforts are a big part of Yayasan Sabah Group's Corporate Social Responsibilities to ensure the perpetuity of the four conservation areas under its purview namely the Danum Valley, Maliau Basin, Imbak Canyon and Tumunong Hallu. Ghazali said Shell is pleased to collaborate with Yayasan Sabah in another conservation programme aimed at promoting environmental conservation and education. This is an extension of Shell's involvement in similar conservations programmes with Yayasan Sabah Group and the Sabah State Government in Danum Valley and Maliau Basin. She added, “This is in line with our commitment to sustainable development.” Tumunong Hallu Conservation Area contains one of the few remaining forested coastal areas in Sabah. Significantly this coastal forest lies in the Darvel Bay, one of the world's richest marine biodiversity. It is part of a priority Conservation Area of the Sulu-Sulawesi Eco Region.

TUAN YANG TERUTAMA YANG DI-PERTUA NEGERI SABAH TUN DATUK SERI PANGLIMA HAJI AHMADSHAH BIN ABDULLAH TH - 64 BIRTHDAY PARADE staff from the Security Unit, four from the Forestry Division, and four from the Biotechnology and Horticulture Division. The rest of the staff were from the Investment and Financial Services, Units of the Human Resource and Corporate Services, Internal Audit, the office of the Executive Assistant to the Director, Conservation and Environmental Management Division, Child

Hand-written speech by Govenor-General, Mr. Malcolm MacdDonald available at the library's Borneo Collection.

The collections are not only useful for students undertaking tertiary education but also to the government, corporate sectors and NGO's as reference for their economic development projects, policy making, education and poverty eradication.

Oldest book available in the library “Borneo En Atchin in het jaar” by De Roy, a Dutchman. Among rare and special materials only available at the library.

Apart from offering the above collection, the library is proud of having the largest collection of written publication regarding Borneo. In fact some of the publications are only available in this library. For instance, the library has the original hand-written speech by Govenor-General, Mr. Malcolm MacDonald.

The library offers membership to individuals and corporate organizations. Members are entitled to browse various categories such as Borneo Collection, Antiquarian Collection, World Bank Publications Collection, Prime Minister of Malaysia Collection and Yayasan Sabah Group Archives Collection and online databases. 12

YAYASAN SABAH GROUP proudly salutes Tuan Development Division, Tun Haji Mohd. Fuad Stephens Yang Terutama Yang Dipertua Negeri Sabah on His Borneo Research Library, Property Management and Excellency's 64th Birthday parade at the Town Padang, Maintenance Division, and Occupational Safety & developed Moon Orchid seedling ready for Kota Kinabalu on 2 October, 2010. Yayasan Sabah A fullyHealth Division. The Contingent was headed by ex-vitro planting after 36 weeks of culture was represented by 39 staff. The group comprised 11 Corporate Communications Division. 9

Yang Berhormat Datuk Masidi Manjun arriving at the function received by Director of Yayasan Sabah Y. Bhg. Tan Sri Datu Khalil bin Datu Haji Jamalul, J.P. on the right (in black jacket) and Yayasan Sabah Corporate Communications Group Manager, Linah Robert.

“Our commitment to the environment is underlined in the Sabah Development Corridor blueprint. Sabah is doing what it can to protect the environment, as it harbors unique flora and fauna, and helps ensure longterm food security, a subject that is greatly debated worldwide," said The Right Honorable Chief Minister of Sabah cum Chairman of the Yayasan Sabah Board of Trustees. He said this in his speech read by Tourism, Culture and Environment Minister Datuk Masidi Manjun.

Today marks yet another important milestone in the cooperation between Yayasan Sabah and The Academy of Sciences Malaysia, said Director of Yayasan Sabah, Y. Bhg. Tan Sri Datu Khalil bin Datu Haji Jamalul, J.P. at the Signing Ceremony of the Memorandum of Understanding (2nd Quinquenium) between Yayasan Sabah and The Academy of Sciences Malaysia, and the Launching of the Book “Maliau Basin: Physical Environment and Biological Diversity of the Northern Rim in conjunction with the flagging-off of the 3rd Scientific Expedition into the Imbak Canyon Conservation Area. The function was held at the Menara Tun Mustapha on 26 November, 2010. The Director said, the first Memorandum of Understanding between Yayasan Sabah and The Academy of Sciences Malaysia was signed in 2006. This was followed by the Scientific Expedition into Maliau Basin on 15-24 June 2006. As a result of the Expedition, a seminar on the Expedition was held on 28-29 November 2006 and thus the launching of its findings in the book entitled “Maliau Basin: Physical Environment and Biological Diversity of the Northern Rim”. The Maliau Basin Scientific Expedition 2006, saw

Imbak Canyon, which is located in Ulu Kinabatangan, is probably the last remaining contiguous pristine lowland rainforests in Sabah a truly priceless heritage! Voluntarily designated as a conservation area by Yayasan Sabah in 2003, it is being managed for the purpose of conservation, research, education, training and appropriate nature recreation.

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He said, similarly to the Maliau Basin Expedition, the scientists and researchers will study the flora and fauna diversity, physical and landscape diversity, water and aquatic life of the Canyon. However, he said “A unique area deserves a different approach; and Imbak Canyon is unique in that there are communities living in the surrounding area. Therefore, this Expedition will also see a group of over 20 scientists and tourism experts studying the social aspect and special characteristics of Ulu Kinabatangan for management purposes, as well as, to promote the area as an eco-tourism destination”.

He said, “There is a lot to be done in terms of conserving our priceless heritage. Such efforts require vast resources and substantial funds especially in protection and surveillance activities to curb illegal activities poaching and collection of non-timber forest products such as the prized and much sought after, gaharu, and notwithstanding the importance of implementation of public awareness and environmental education activities. Yayasan Sabah cannot do it alone, and requires assistance and cooperation from all.

Imbak Canyon received formal protection status when the State Government gazetted it as a Class I (Protection) Forest Reserve in 2009. Yang Bhg. Tan Sri said, there is still a lot to be discovered about Imbak Canyon. To date, only two scientific expeditions have been conducted in different areas of the Canyon. In the 1992 expedition, a new species of “keruing” was found which shows that Imbak Canyon is rich in flora. Its fauna bio-diversity is still to be discovered. He added, “What makes Imbak Canyon unique is the fact that it is rich in medicinal plants, and has the potential to become a pharmaceutical haven. Earlier surveys have already

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uncovered over 90 plants from the forest still being used by the local communities today to treat various illnesses/sickness ranging from stomach ache, headache, fever, wounds to hypertension and gastritis. This is only the tip of the iceberg. I am confident that if there are cures to be found to some of the illnesses prevalent in this age and time, there can be no doubt that the cure, is just waiting to be found in the Imbak Canyon”.

The Director said “As holder of the largest forest concession area in Sabah, Yayasan Sabah has always put great emphasis on its environmental protection and the conservation of its bio-diversity, which is in tandem with the national agenda. By designating Danum Valley, Maliau Basin and Imbak Canyon as conservation areas, Yayasan Sabah has forgone its timber rights and subsequently economic returns from the said areas.

The exchange of the signed MOU between Director of Yayasan Sabah YBhg. Tan Sri Datu Khalil bin Datu Haji Jamalul, J.P. (right) and Vice President of The Academy of Sciences Malaysia Prof Datuk Dr. Ahmad Zaidee Laidin (left) witnessed by The Minister of Tourism, Culture and Environmental Yang Berhormat Datuk Masidi Manjun.

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over 70 scientists and researchers converged at Eucalyptus Camp, an area Northeast of Maliau Basin, which till then was unexplored. The Expedition generated some 30 research findings including the discovery of new species that has greatly added to our knowledge of Maliau Basin. These information are crucial for management and conservation purposes, said the Director. He added, subsequently, the signing ceremony of the 2nd MOU between Yayasan Sabah and The Academy of Sciences will be marked through the official flagging-off of the Imbak Canyon Scientific Expedition 2010. This Expedition will see over 100 scientists/researchers from within Malaysia going into Imbak Canyon; this time to Gunung Kuli, an unexplored area south of the Imbak Canyon Conservation Area.

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MoU (2ND QUINQUENIUM) SIGNED BETWEEN YAYASAN SABAH AND THE ACADEMY OF SCIENCES MALAYSIA, AND LAUNCHING OF THE BOOK “MALIAU BASIN: PHYSICAL ENVIRONMENT AND BIOLOGICAL DIVERSITY OF THE NORTHERN RIM” IN CONJUNCTION WITH THE FLAGGING-OFF OF THE YAYASAN SABAH-ACADEMY OF SCIENCES MALAYSIA IMBAK CANYON SCIENTIFIC EXPEDITION 2010

The Launching of the book entitled 'Maliau Basin: Physical Environment and Biological Diversity of the Northern Rim' by Yang Berhormat Datuk Masidi Manjun.

The medicine man from Tongod doing the ceremonial dance and singing to the gods asking for blessings before the flagging-off of the 3rd Expedition into the Imbak Canyon.

Yang Berhomat Datuk Masidi Manjun flagging-off the 3rd Scientific Expedition into the Imbak Canyon Conservation Area at the Sunrise Plaza of the Menara Tun Mustapha building. On his right is Tan Sri Datu Khalil bin Datu Haji Jamalul, J.P. Director of Yayasan Sabah and on the left is Prof Datuk Dr. Ahmad Zaidee Laidin, Vice President of The Academy of Sciences.