Thursday 28 Mar 2024
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KUALA LUMPUR (March 11): MISC Berhad (MISC) will merge its chemical fleet with AET Tanker Holdings Sdn Bhd’s (AET) clean petroleum products (CPP) fleet in a synergic move to offer customers additional capacity and flexibility.

MISC, one of the world’s leading international shipping and maritime conglomerates, will transfer and combine its seven “Bunga A” class vessels (38,000 deadweight tonnage/dwt), along with six “Bunga L” class (19,000 dwt) and one liquefied petroleum gas (LPG) vessel (20,613 dwt), with AET’s eight CPP tankers to create a single entity.

No changes will be made to the flag or classification society and MISC will continue to provide technical management for the chemical tankers and LPG vessel.

MISC president and group CEO, Mr Yee Yang Chien, said, “There are significant synergies to be gained from merging the two fleets and creating a consolidated products business. Our chemical and CPP fleets have many customers in common and this merger enables us to offer them, added value through additional capacity and flexibility.”

He said the integration will help in expanding their customer base, as well as in developing a range of long-term partnerships in the sector.

“With growth forecast in the petrochemical industry, particularly in the US and Arabian Gulf, along with the current low oil price environment, we are confident that we will see a strengthening of exports and a higher demand for product tankers in the future”, he added.

AET president and CEO, Captain Rajalingam Subramaniam, welcomed the synergic move and said the sharing of similar market drivers, as well as the sustainable growth outlook in emerging markets for both CPP and chemical businesses, makes the new arrangement to operate these ships as a combined fleet, a logical one.

“An integrated fleet allows us to optimise and triangulate the three core chemical markets — organic, vegetable and special; and provide greater options and flexibility to our customers,” he said.

He expects higher vessel utilisation with a larger fleet, as there is access to a greater cargo pool, as well as having the ability to secure opportunistic fixtures. Rajalingam is confident that the intergration will also provide enhanced services to customers.

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