PCML, Hubline sign MoU on logistics collaboration
KUCHING: A Memorandum of Understanding (MoU) for logistics collaboration between Petronas Chemicals Marketing Labuan ( PCML) Ltd and Hubline Berhad was signed yesterday.
The MoU opens the door for mutual cooperation and collaboration in respect of a mutually beneficial arrangement for Hubline to provide dry bulk and liquid chemical logistics services to complement PCML’s logistics business.
Hubline chairman Ibrahim Baki said this marked a significant milestone for the Sarawak-based shipping logistics company, which has a fleet size of 25 sets of tugs and barges, fully deployed and servicing the niche Southeast Asia dry bulk market.
The route covers ports in Indonesia, Vietnam, Thailand, Singapore and the Philippines, transporting cargoes such as coal, gypsum, aggregates, sand, wood chips and scrap iron within the region.
“We are entering into mutual collaboration with Petronas for the provision of logistic services for dry bulk initially and later we might move on to liquid transportation of Petronas products,” he told reporters after the MoU signing ceremony which was witnessed by Chief Minister Datuk Patinggi Abang Johari Tun Openg at Wisma Bapa Malaysia here yesterday.
In cooperation with PCML, an experienced international marketer and trader of petroleum products, he said Hubline hoped to expand its trade routes to Australia, New Zealand and China where Petronas products like urea are supplied to.
“We are working towards that and hopefully in the next five years there will be a major shipping support service for Petronas-Hubline.”
With Abang Johari strongly advocating for the state to be more involved in economic initiatives to further promote the development of the state, Ibrahim said Hubline, as a publiclisted company, is well positioned to take advantage of existing opportunities and further explore new opportunities expected to be rolled out as a result of these economic initiatives, including the state government’s proposed methanol plant in Bintulu which is expected to be completed in 2021.
“Hubline is hopeful to secure a contract in relation to the provision of logistics services when the plant commences production in four years’ time.”
Earlier, Ibrahim and Hubline vice chairman Dato Richard Wee signed the MoU on behalf of Hubline while PCML was represented by its chief executive officer Shamsairi Mohd Ibrahim and head of Supply and Distribution Normah Basri.
Also present to witness the signing ceremony were Deputy ChiefMinisterTanSriDatukAmar Dr James Jemut Masing, Second Finance Minister Dato Sri Wong Soon Koh, State Secretary Tan Sri Datuk Amar Morshidi Abdul Ghani and Petronas president and group chief executive officer Tan Sri Wan Zulkiflee Wan Ariffin.