In statement Wednesay. Straits said its subsidiary, Tumpuan Megah Development Sdn Bhd (TMD) entered into the agreement with BPSB.
BPSB is in the business to operate, maintain, manage and provide operational facilities and services of the port undertakings within the Bintulu Port area. BPSB is also a subsidiary of Bintulu Port Holdings Bhd.
Straits is principally engaged in oil trading and oil bunkering services and investment holding activities. Oil bunkering services involve provision of refuelling marine gas oil and marine fuel oil through vessels to other ships and ocean faring vessels such as oil tankers, container vessels, cargo vessels and cruise ships.
With the intention to provide bunkering services within its port water limits, BPSB had agreed to appoint TMD, a company specialising in marine bunkering operations in Malaysia to operate, manage and provide bunkering services located at the general cargo anchorage within Bintulu Port water limit located in Sarawak.
“This tie-up with BPSB marks an important milestone for Straits and in bringing the two companies together for collaboration on bunkering business. The opportunity to collaborate with Bintulu Port will bring new dimensions to both parties’ infrastructures which will allow both parties to tap the vast potential in the bunkering industry,” group managing director Datuk Seri Ho Kam Choy said.
“Currently, TMD is operating its business in eight ports in Malaysia, comprising, Pasir Gudang Port, Tanjung Pelepas Port., Kuantan Port, Kuala Terengganu Port, Kemaman Port, Labuan Port, Kota Kinabalu Port, and Miri Port.
“By entering into this agreement with BPSB, Straits through its subsidiary TMD hopes to establish a base in bunkering business in Bintulu and subsequently further enlarge its bunkering business in East Malaysia,” he said.
Bintulu Port group CEO Datuk Mohammad Medan Abdullah said: “The introduction of fuel bunker services in Bintulu Port waters is part of the group’s initiatives to enhance users’ experience with the launch of its new group vision, mission and corporate values towards becoming a world class port operator and expanding its revenue streams. The introduction of such services in Bintulu Port is befitting given the strategic location of the port to potential users spanning various industries plying through Bintulu waters.”
In its effort to expand its business footprint, Straits had completed its acquisition of 55% equity interest in TMD in September 2018 and 38% equity interest in Banle Energy International Limited in February 2019.
The acquisition of TMD has enlarged Straits’ fleet size from 2 vessels to 9 vessels with a total capacity of 12 million litres, while the Banle acquisition has opened up the gateway for Straits to tap the marine fuel oil trading market in Hong Kong, China and Taiwan.
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