KUALA LUMPUR (May 22): KUB Malaysia Bhd has signed a memorandum of understanding (MoU) with Mabanaft Pte Ltd to jointly develop, own and operate a refrigerated liquefied petroleum gas (LPG) terminal at Westports in Port Klang, Selangor.

In a filing with Bursa Malaysia today, KUB said Singapore-based Mabanaft is an affiliate of Germany-based energy player Marquard & Bahls Group.

The MoU is effective between May 22 and Dec 31 this year; and it is meant to outline the scope and definition of the project and the intended roles and responsibilities of both parties in supporting the project during a development period, and to set out a potential contractual framework that both parties believe might govern their future relationship in the event that parties jointly agree to enter investments related to the project.

KUB shares gained one sen or 1.71% to close at 59.5 sen today, giving it a market capitalisation of RM331.1 million. Year to date, the counter has appreciated by 45.12% from 41 sen on Jan 3 this year.