KIC Oil & Gas Sdn Bhd, Malaysia's largest private operator of oil terminals, is set to acquire and own a fleet of 22 vessels of various sizes worth US$200 million (US$1 =RM3.26), over the next three years. The company, in a shipping and logistics venture with Thailand's Nathalin Group, in collaboration with Petroleum Authority of Thailand (PTT) Public Company Ltd, will be supporting the increasing demand from the global gas and oil market.
It will also be supporting KIC's Asia Petroleum Hub (APH) in Johor and Westport’s operations.
KIC Executive Chairman and Chief Executive Officer Abdul Rashid Mohamad Isa said the three parties would later in the year,form a consortium for the acquisition and launch of a shipping trust.
"The shipping trust will be fully utilised to fund the acquisition of the 22 vessels. KIC, Nathalin and PTT are strong enough on their own to participate in the consortium. However, we cannot rule out any external participation and welcome them," he said after the signing ceremony of a Memorandum of Agreement (MOA) on the commencement of the venture and launching of the company's newly acquired floating storage units, Very Large Crude Carriers (VLCC).
Former Prime Minister, Tun Abdullah Ahmad Badawi witnessed the signing ceremony and launched the US$40 million VLCCs, the Sri Qadriah I and Sri Qadriah II.
On the delayed completion of the APH in Iskandar Malaysia, Johor, Abdul Rashid said any project of that nature, would experience some minor drawbacks.
"We have currently completed 61 per cent of the work.It is delayed as we need to undertake a study, mainly on the method of stabilising the islands," he said.
KIC is developing the APH, initially targeted for completion in the third quarter of 2011. It would increase the company''s storage capacity to 1.8 million cubic meters.
"With this newly launched VLCCs, KIC's total combined storage capacity will increase to 900,000 cubic meters from the 320,000 cubic meters currently," Abdul Rashid explained.
The Nathalin Group is the largest private-owned shipping company in Thailand.
It will also be supporting KIC's Asia Petroleum Hub (APH) in Johor and Westport’s operations.
KIC Executive Chairman and Chief Executive Officer Abdul Rashid Mohamad Isa said the three parties would later in the year,form a consortium for the acquisition and launch of a shipping trust.
"The shipping trust will be fully utilised to fund the acquisition of the 22 vessels. KIC, Nathalin and PTT are strong enough on their own to participate in the consortium. However, we cannot rule out any external participation and welcome them," he said after the signing ceremony of a Memorandum of Agreement (MOA) on the commencement of the venture and launching of the company's newly acquired floating storage units, Very Large Crude Carriers (VLCC).
Former Prime Minister, Tun Abdullah Ahmad Badawi witnessed the signing ceremony and launched the US$40 million VLCCs, the Sri Qadriah I and Sri Qadriah II.
On the delayed completion of the APH in Iskandar Malaysia, Johor, Abdul Rashid said any project of that nature, would experience some minor drawbacks.
"We have currently completed 61 per cent of the work.It is delayed as we need to undertake a study, mainly on the method of stabilising the islands," he said.
KIC is developing the APH, initially targeted for completion in the third quarter of 2011. It would increase the company''s storage capacity to 1.8 million cubic meters.
"With this newly launched VLCCs, KIC's total combined storage capacity will increase to 900,000 cubic meters from the 320,000 cubic meters currently," Abdul Rashid explained.
The Nathalin Group is the largest private-owned shipping company in Thailand.