KUCHING: In a written response to a list of questions received from the Minority Shareholder Watchdog Group (MSWG), Bintulu Port Holdings Bhd (Bintulu Port) outlined its plans for the future to develop new businesses and attract more traffic.
During a press conference after its Annual General Meeting (AGM) earlier this week, the group said that MSWG had forwarded some questions which enquired on the group’s proposals for the future.
Touching on the group’s aim to reduce dependency on liquefied natural gas (LNG) to 60 per cent in the next couple of years, MSWG enquired with regards to the group’s progress in developing new businesses and in attracting traffic.
Bintulu Port responded by revealing its three new proposed businesses under its five-year Strategic Plan.
The first was to set up a new marine subsidiary to provide services to this port and other port. The implementation of this plan had been rescheduled to 2011-2015.
“Another proposal is to develop a Free Commercial Zone (FCZ) in the port for the promotion of trade and value-added activities,” Bintulu Port added in the response. “This has been approved by the appropriate authorities and management is currently taking the necessary action to set up the FCZ.”
Bintulu Port’s final proposal was the development of oil and gas terminal/small craft harbour. This was awaiting proposal from the relevant authorities for the project’s implementation.
The group reminded that despite the new businesses which had experienced some delay, the management had successfully implemented several businesses, including the development of a Container Freight Station (CFS) and its related services.
“The CFS had been completed and expected to be operational by the middle of this year. This project would widen the scope of the group’s container handling services and expected to contribute additional revenue of about RM2 million per year,” it added.
Also, the group had also successfully implemented the provision of bulk fertiliser handling services as well as bulk cargo handling services to new cargo, both using the port’s own appointed contractor, thereby achieving better productivity and higher margin.
The group had also adopted several strategies to attract traffic to its ports, one of which was by having continuous capacity and capability building to ensure that the port would always have sufficient facilities and efficient services for the handling of vessel and cargo.
In addition, the group would have an appropriate Terminal Service Agreement and offering of incentive to potential port users especially in the main line operator which could bring in more cargo and containers to the port.
Touching on the achievements vis-à-vis the major Key Performance Indicators (KPIs) for Bintulu Port in 2010, it was noted that they had been based on four major areas and similar KPIs would be used for 2011.
The group had achieved a KPI of 40.63 million tonnes of cargo throughput, revenue of RM473.53 million, expenditure of RM275.73 million, profit before tax of RM197.79 million and profit after tax of RM150.32 million for 2010.
Bintulu Port noted that MSWG was satisfied with the answers to its queries.
The Borneo Post Online