Malaysia Star: Shell to open more petrol stations

Wednesday 15 June 2005

BY SHILING WOON

SHELL Malaysia plans to invest RM150mil to open 15 new petrol stations and upgrade the existing 830 outlets nationwide, said managing director Mohzani Wahab.

The new petrol stations will be in the Klang Valley, Penang and Johor.

“We plan to allocate RM8mil to set up each of the 15 new petrol stations,” Mohzani told reporters after the launch of Shell’s Don’t Fool With Fuel retail safety campaign by Domestic Trade and Consumer Affairs Minister Datuk Mohd Shafie Apdal in Petaling Jaya yesterday.

Shell Malaysia also plans at the year-end to invest a further RM110mil to upgrade the credit card payment system at its existing petrol stations to the EuroPay-MasterCard-Visa system (EMV).

“The present system is inconvenient so we plan to enhance our information technology system and applications to be more consumer-friendly,” Mohzani said.

However, despite customers having to pay at the counter, Shell has not been negatively impacted as more customers are now choosing to pay cash than by credit card.

On the impact of rising petrol prices on Shell, he added that it did not directly influence the sales of the company as customers who chose to pay the same amount for petrol had to come back more often for refuelling.

Shell Malaysia expects its revenue to grow in line with the country’s gross domestic product (GDP) of 6% this year.

“Last year, petrol sales contributed 9% to revenue, due to the overwhelming local car sales and also the company has consistently established new petrol stations in the Klang Valley to capture new markets,” he added.

Currently, the company had captured 36% share of the local petrol sales and Shell Malaysia expected to maintain its market share this year, said Mohzani.

On the Don’t Fool With Fuel campaign, Mohzani said the main objective was to educate consumers on the five safety messages that might cause accidents at a petrol station.

The company has allocated RM500,000 for the one-month long campaign.

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Malaysia Star: Shell to open more petrol stations