PetDag reduces capex to RM300mil this year

KUALA LUMPUR: Petronas Dagangan Bhd (PDB) has reduced its capital expenditure (capex) allocation to RM300mil this year compared with RM400mil last year.

Managing Director and Chief Executive Officer Datuk Mohd Ibrahimnuddin Mohd Yunus said the capex would be utilised, among others, to finance the upgrading of up to 15 stations nationwide this year and other business activities. 

“We have done with 15 Mesra stores last year and we are going to ramp up more this year, and have more Euro5 diesel, multi dispensers and others.

“We have (also) allocated money for the maintenance of our depots and terminals,” he told press conference after the company’s annual general meeting here today.
PDB currently owns 1,045 Petronas petrol stations nationwide.

Mohd Ibrahimnuddin said the retail and commercial segments contributed about 90% to PDB’s earnings, while the remaining was derived from liquefied petroleum gas and lubricant segments.

On other development, he said PDB had secured three new supply contracts with US-Bangla Airlines, Air Seoul and Himalaya Airlines last year.

The contracts had a maximum tenure of up to two years, he said, adding that PDB held 70 per cent share of the aviation jet fuel market in the country. - Bernama