More than 480 acres of land have been reclaimed for Penang’s Silicon Island project as the 2,300-acre development enters its fourth year, with RM1.9 billion invested to date.
Pulau Tikus assemblyman Joshua Woo Sze Zeng said the project, which began reclamation works in September 2023, had benefited more than 4,400 local contractors and employed over 900 Malaysians, Penang Property Talk reported.
The development is a joint venture between the Penang state government and Gamuda Bhd through Silicon Island Development Sdn Bhd. It is projected to attract around RM70 billion in investments, generate an estimated RM1 trillion in economic value by 2050, and create more than 220,000 direct and indirect employment opportunities.
The reclamation has expanded rapidly from 60.7 acres recorded as of April 2025, according to a report by Scoop quoting state infrastructure, transport and digital committee chairman Zairil Khir Johari. By June 2025, the reclaimed area had reached 160 acres, EdgeProp reported.
Part of the reclaimed land has been allocated for the Mutiara Line Light Rail Transit depot, which will occupy approximately 70 acres and serve as a facility for train stabling, cleaning, maintenance and repair. The depot site was handed over to MRT Corporation in May 2026.
A Deloitte Southeast Asia study commissioned by Silicon Island Development identified industrial land constraints as a potential impediment to Penang securing further high-technology and electronics investments. The study pointed to a planned 720-acre Green Tech Park as the development’s principal industrial component, supported by commercial, residential, institutional and public infrastructure.
The Mutiara Line is intended to connect Silicon Island with Penang International Airport and George Town, with four stations planned along the route. A RM390 million marine viaduct measuring 380 metres will link the island to the southern coast of Penang, expected to open to the public by December 2028.
Joshua said the focus as Silicon Island enters its fourth year should extend beyond physical development and investment figures. The main challenge, he said, would be ensuring that the island’s economic growth translates into higher-value employment, stronger opportunities for local businesses and more chances for Penangites to build their careers in the state.
Reclamation is expected to take between 10 and 15 years, with full completion targeted by 2032. The full development is planned to run over 25 years, with the island built to a minimum of three metres above sea level to handle high tides and storm surges.
