Future visitors to an RM40 million agro-tourism project in Paya Terubong would have access to activities like zip lining, trekking, glamping, as well as traditional camping.

Penang Chief Minister Chow Kon Yeow was present as the Penang Development Corporation (PDC) and KAT Resources Sdn Bhd signed a letter of agreement for the project in Komtar on Thursday, September 14.

After completion, the project, according to Chow, would generate 400 jobs and turn into the newest tourism destination in the state.

"The signing of a 45-year lease agreement between the PDC and KAT Resources will allow for systematic and planned development to benefit both the state and the tourism industry," he said during a news conference after the arrangement was signed.

Additionally, he emphasized that there would not be another instance of illegal land removal like the ones that occurred in the past in Bukit Botak or Bukit Relau.

He stated that before beginning construction on the project, which is anticipated to take a year to complete, Kat Resources Sdn Bhd would get all necessary clearances, including environmental impact assessment studies.

According to him, the project spans 165ha (408 acres) of PDC land and includes hills that are up to 70 meters tall.

He said that it would also consider drainage, slope protection, and valley conservation.

A durian orchard, viewing and feeding spaces for livestock, camping areas, and a variety of recreational opportunities will all be part of the development.

We might even give leases for smaller plots to folks who are currently growing there illegally, he said.

Chow pointed out that this was one of the difficult projects the state undertook in recent years, along with the cable car, LRT, and Bukit Kukus paired roads.

He promised to keep carrying out initiatives that could boost the state's economy.

PDC was represented by Datuk Aziz Bakar, the company's CEO, while Teh Kok Aun, the CEO of KAT Resources Sdn Bhd, signed on the company's behalf.

Other state officials present included Datuk Seri S. Sundarajoo, the head of the housing and environment committee, and Fahmi Zainol, the chairman of the agrotechnology, food security, and cooperative development committee.

According to Aziz, PDC would decide how much vegetation should be kept.

To ensure that the level of greenery is protected, he stated, "We will get assistance from the Agriculture Department to set guidelines."

According to him, the 45-year lease agreement will generate roughly RM24 million in benefits

Teoh stated that it was anticipated that the project would bring in RM3 million from agricultural production and RM5 million from tourism-related activities each year.

He claimed that this excluded the effect of adjacent hotels, transportation, and the food and beverage sectors.