An expansion to Singapore and Hong Kong may be on the cards. File Image / Pixabay
Malaysian manufacturing firm Techfast Holdings, which is in the process of diversifying into the bunker business, sees good prospects for the industry this year as it mulls expansion to Singapore and Hong Kong.
The firm saw 12,939 ringgit ($3,135) of profit from bunkering, vessel chartering and petroleum trading from 4.017 million ringgit of revenue last year as it made early steps into the industry, it said in an annual report published on Monday.
The company sees strong prospects for its subsidiary, FESB, in the bunker business.
"FESB will aim to expand its business by sourcing for new supply contracts for its oil bunkering business," Techfast said in the report.
"In Malaysia, major ports such as Port Klang experienced bottlenecks earlier this year with high volume of vessels arriving at the ports, which bodes well for the Group's prospects.
"Demand for marine fuel oils is anticipated to grow as global trade and shipping activities gain momentum following reopening of economies.
"There are also plans to acquire our own bunker vessels to further enhance profit margins while eyeing expansion into international ports like Singapore and Hong Kong as global trade gains momentum."