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Malaysia: Straits Energy Resources concludes FY 2022 with 43.1% jump in net profit

SER recorded net profit of MYR 6.16 million in FY 2022 compared to MYR 4.3 million in FY 2021, which was mainly contributed by its oil bunkering and shipping related services segment.

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Malaysia-listed Straits Energy Resources Berhad (SER), formerly known as Straits Inter Logistics, on Tuesday (9 May) posted a 43.1% jump in net profit for its financial year (FY) of 2022, which was mainly contributed by its oil bunkering and shipping related services segment.

SER recorded net profit of MYR 6.16 million (USD 1.38 million) in FY 2022 compared to MYR 4.3 million in FY 2021, the company stated in its latest filing.

Revenue for FY 2022 totalled MYR 3.11 billion, an increase of 135.8% from revenue of MYR 1.32 billion in the financial year before.

“The Group achieved another record-breaking year with a revenue of RM3.1 billion, an increase of 135.8% as compared to the previous financial year and this was mainly contributed by the Oil Bunkering and Shipping Related Services segment. All other business segments of the Group also had shown an increase in revenue compared to the previous year,” it said.

“The significant revenue increase in the Oil Bunkering and Shipping Related Services segment was driven by a higher demand in both the marine gas oil (MGO) and very low sulphur fuel oil (VLSFO) from international shipping liners and new market expansion, backed by an overall increase in the global oil prices.”

In May 2022, the Group had successfully completed its maiden STS crude oil transfer operation at Victoria Bay, Labuan. This new business segment contributed RM4.2 million to the Group’s revenue.

SER through its 70% owned subsidiary, Tumpuan Megah Development Sdn Bhd (TMD), own and operate a fleet of 15 vessels that comply with health, safety and environmental standards, ranging from 500 to 7,820 deadweight tonnage (DWT). These vessels operate in inner and outer port limits of various seaports in Malaysia.

Products offered by the Group includes:

  • Marine Gas Oil (MGO);
  • High Sulphur Fuel Oil (HSFO);
  • Very Low Sulphur Fuel Oil (VLSFO);
  • Marine Fuel Oil (MFO); and
  • Low Sulphur Heavy Fuel Oil (LSHFO).

Over the years, the Group’s has expanded its assets base, strengthen its operational capabilities and broadened its geographical coverage to capture the larger growth opportunities in the oil trading and bunkering sector in both Malaysia and the Asia region.

At present, TMD operates in 19 ports in Malaysia, which include Lumut Port, Pasir Gudang Port, Tanjung Pelepas Port, Johor Bahru Port, Kuantan Port, Kemaman Port, Kuala Terengganu Port, Bintulu Port, Labuan Port and Sapangar Bay Oil Terminal and all of which are licensed under Petroleum Development Act 1974 (PDA Licenses) for its bunkering services.

SER said the growth in revenue for FY2022 was mainly attributed to the numerous strategies undertaken by the management to gain a bigger market share. As a result of a slowing economy activity, there was margin compression during that period as a result of competitive pricing and increased costs from suppliers. The oil trading and bunkering business is characterised by high sales volumes and low margins.

In the fourth quarter of 2022, the Group expanded its oil trading and fuel bunkering services to seagoing liquified natural gas (LNG) vessels within the Labuan waters whereby TMD would provide bunkering and related services to international and domestic vessels passing through the Labuan waters. Its maiden operation involves supplying 4,000 metric tonnes of LSHFO to an LNG tanker. The bunkering service entails the supplying of LSHFO which is not available in Labuan or neighbouring states. This had boosted Labuan’s reputation and image as the new bunkering hub in the region.

SER also stated TMD is aware of the profound changes driven by technological disruption and the emergence of new technologies in the global supply chain.

“As such, TMD has started its programme towards automation and digitalisation. A shift to digitalisation is a tool for optimised bunker business models, greater transparency, cross industry cooperation and the decarbonisation of the O&G industry,” it said.

RelatedVictoria STS completes its first-ever STS crude oil transfer off Labuan
RelatedStraits Energy Resources and Fendercare Marine to promote Labuan STS services
Related: Straits Inter Logistics undergoes name change to Straits Energy Resources
RelatedTumpuan Megah Development to collaborate with Petronas for bunker deliveries
RelatedStraits Inter Logistics receives government approval to develop STS hub
RelatedStraits Inter Logistics subsidiary to become STS operator at Victoria Bay, Labuan
RelatedMalaysia: Straits Inter Logistics gears up for USD 3.6 million STS hub project
Related: Malaysia: Straits Inter Logistics posts 26% rise on year in profit for Q1 2021
Related: Malaysia: Strait’s unit Victoria STS completes first-ever STS LNG transfer in Labuan

 

Photo credit: Straits Energy Resources Berhad
Published: 10 May, 2023

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Environment

IMO Secretary-General: Net-Zero Framework sends clear demand signal to bunker fuel producers

New regulations will require investment for decarbonisation to take place, states Arsenio Dominguez.

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Shipping gears up for massive investments in decarbonization 2 medium

The global shipping industry is preparing for a net-zero transformation that will have a sector-wide impact on everything from supply chains and business models, to ships, ports and the maritime workforce, said IMO Secretary-General Arsenio Dominguez.

IMO approved new regulations for net-zero marine fuels and emissions in April, set for adoption in October. Calls for investments in decarbonisation are getting louder.

“Regulations alone cannot do the job. We need technological development and we need alternative fuels… And that can only happen in one way – with investment,” he said, speaking at the Blue Economy Finance Forum in Monaco (8 June).

This includes investing in scaling up production of alternative bunker fuels in large enough quantities to replace the 350 million tonnes of fuel oil currently burned by ships each year.

Upgrading port infrastructure and bunker operations will also be required to safely provide clean energy for ships when they call at ports around the world.

“The liner industry has already invested USD 150 billion in decarbonisation. It is unprecedented for the transport sector,” said President of the World Shipping Council, Joe Kramek. “But we need the fuel supply… it’s a tremendous investment opportunity.”

The new set of regulations, known as the “IMO Net-Zero Framework”, takes a two- pronged approach: a global fuel standard that limits the greenhouse gas (GHG) fuel intensity of marine fuels, and a price placed on the GHG emissions from ships.

The regulations send a clear demand signal to fuel producers, while rewarding ‘first movers’ – shipping companies who take the risk to adopt low- and zero-emission solutions early, and who are then able to share their experiences and expertise with others.

The IMO Net-Zero Framework works alongside earlier measures adopted by IMO to enhance energy-efficient ship design, operational improvements and carbon intensity ratings. They will be reviewed every five years, with emission limits tightened over time.

Related: IMO MPEC 83 approves net-zero regulations for global shipping

 

Photo credit: International Maritime Organization
Published: 17 June 2025

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Newbuilding

NYK Group’s first methanol-fuelled bulk carrier “Green Future” delivered

Vessel is the first bulk carrier in the NYK Group to be equipped with a dual-fuel engine that uses methanol and fuel oil.

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Green Future MT

NYK Group on 13 May received delivery of Green Future, the company’s first methanol dual-fuel bulk carrier, at the TSUNEISHI Factory of TSUNEISHI SHIPBUILDING Co., Ltd. where a naming and delivery ceremony was also held, it said on Thursday (14 June).

The vessel will be chartered by NYK Bulk & Projects Carriers Ltd., an NYK Group company, from KAMBARA KISEN Co., Ltd.

It is the first bulk carrier in the NYK Group to be equipped with a dual-fuel engine that uses methanol and fuel oil.

“Methanol has a lower environmental impact than fuel oil, and by using bio-methanol and e-methanol produced using hydrogen derived from renewable energy sources and recovered carbon dioxide, the vessel achieves significant reductions in greenhouse gas emissions,” it said.

Vessel Particulars
LOA: 199.99 m
Breadth: 32.25 m
Depth: 19.15 m
Deadweight: approx. 65,700 metric tons
Capacity: approx. 81,500 m3
Draft: 13.8 m

Related: Tsuneishi delivers world’s first methanol dual-fuel Ultramax bulker to NYK
Related: Japan: NYK to time-charter its first methanol-fuelled bulk carrier

 

Photo credit: NYK Group
Published: 17 June 2025

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Ammonia

Yara Clean Ammonia voices support for ammonia bunkering pilot

Pilot has generated crucial real-world data and best practices for future ammonia bunkering operations globally.

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Yara ammonia STS operation

Yara Clean Ammonia (YCA), the world’s largest trader and distributor of ammonia, on Friday (13 June) announced its key role in a landmark maritime decarbonisation initiative led by the Global Centre for Maritime Decarbonisation (GCMD).

The successful completion of the first-ever ship-to-ship transfer (STS) of ammonia at anchorage in Western Australia marks a major milestone in paving the way for ammonia as a viable marine fuel, it said.

Under the supervision of the Pilbara Port Authority (PPA), the pilot took place within the anchorage area of Port Dampier, simulating real-world bunkering conditions and demonstrating that ammonia transfer can be executed safely and effectively offshore.

According to YCA, the trial builds on the insights from GCMD’s prior safety study in Singapore and confirms that, with the right controls in place, ammonia STS transfers at anchorage are both safe and scalable.

The pilot has also generated crucial real-world data and best practices for future ammonia bunkering operations globally.

“This successful trial is a pivotal step towards building trust in ammonia as a zero-to-near-zero emission (ZNZ) maritime fuel,” said Murali Srinivasan SVP Commercial in Yara Clean Ammonia.

“It’s the result of world-class collaboration and careful planning—and it shows that with the right safeguards, ammonia bunkering is not only feasible but practical.”

 

Photo credit: Yara Clean Ammonia
Published: 17 June 2025

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