Iain Lo, Chairman of Shell Malaysia who is also the Chairman of Shell Refining Company, hosted the ceremony which was officiated by Mr Mohd Ridzal Sheriff; Deputy Secretary General (Trade), Ministry of International Trade and Industry. Joining the ceremony were: Ben van Beurden, Downstream Director, Royal Dutch Shell plc; Rozano Saad, Managing Director of Shell Refining Company; Azman Ismail; Managing Director of Shell Malaysia Trading Sdn Bhd and about 300 other guests.
Shell announces completion of Diesel processing unit
Shell Refining Company (Federation of Malaya) today marked the completion of its newly built diesel processing unit with a ceremony held at its Port Dickson refinery.
Mr Lo said: “Shell is heading towards greater cost competitiveness through this project. With a flawless start-up of the diesel processing unit, Shell can start to capitalise on the advantage of refining more sour crudes, which offer better margin performance.”
The diesel processing unit is one of Shell Malaysia’s three Entry Point Projects (EPP), which were announced by Yang Amat Berhormat Datuk Seri Najib Tun Razak, the Prime Minister, in January 2011 as part of the country’s Economic Transformation Programme.
The other two EPP Projects are the expansion of the Shell Middle Distillate Synthesis (Shell MDS) wax plant in Bintulu, and the Gumusut Kakap deep-water development offshore Sabah. These three projects have created approximately 1,650 jobs for local contractors during the construction phase.
Mr van Beurden said the three EEP projects demonstrate Shell’s ongoing commitment to the country. He said: “After 120 years of operations in Malaysia, the country remains an important heartland for Shell and is vital to our future growth in the Asia-Pacific region. Each year, Shell invests an average of around $1 billion in Malaysia.”
“Our continued investment also supports the Malaysian Government’s Economic Transformation Programme to generate higher income, create more value-added economic activities and strengthen human capital development in the country.”
The diesel processing unit was successfully commissioned with no lost time injuries and achieved its first commercial production in the first quarter of 2013.
Note to Editors:
Shell Refining Company (Federation of Malaya) Berhad was formed in 1960 as a public listed company. It currently has 49% public participation and 51% held by Shell Overseas Holding Limited. The Company is the key petroleum products supplier to Shell Downstream businesses in Malaysia. The oil refinery at Port Dickson has a licensed production capacity of 156,000 barrels per day and produces a comprehensive range of petroleum products, some 90% of which are consumed within Malaysia.
Definitions & Cautionary Note:
Resources: Our use of the term “resources” in this announcement includes quantities of oil and gas not yet classified as Securities and Exchange Commission of the United States ("SEC") proved oil and gas reserves or SEC proven mining reserves. Resources are consistent with the Society of Petroleum Engineers 2P and 2C definitions.
The companies in which Royal Dutch Shell plc directly and indirectly owns investments are separate entities. In this announcement "Shell", "Shell Group" and "Royal Dutch Shell" are sometimes used for convenience where references are made to Royal Dutch Shell plc and its subsidiaries in general. Likewise, the words "we", "us" and "our" are also used to refer to subsidiaries in general or to those who work for them. These expressions are also used where no useful purpose is served by identifying the particular company or companies. "Subsidiaries", "Shell subsidiaries" and "Shell companies" as used in this announcement refer to companies in which Shell either directly or indirectly has control, by having either a majority of the voting rights or the right to exercise a controlling influence. The companies in which Shell has significant influence but not control are referred to as "associated companies" or "associates" and companies in which Shell has joint control are referred to as "jointly controlled entities". In this announcement, associates and jointly controlled entities are also referred to as "equity-accounted investments". The term "Shell interest" is used for convenience to indicate the direct and/or indirect (for example, through our 23 per cent shareholding in Woodside Petroleum Ltd.) ownership interest held by Shell in a venture, partnership or company, after exclusion of all third-party interest.
This announcement contains forward looking statements concerning the financial condition, results of operations and businesses of Shell and the Shell Group. All statements other than statements of historical fact are, or may be deemed to be, forward-looking statements. Forward-looking statements are statements of future expectations that are based on management's current expectations and assumptions and involve known and unknown risks and uncertainties that could cause actual results, performance or events to differ materially from those expressed or implied in these statements. Forward-looking statements include, among other things, statements concerning the potential exposure of Shell and the Shell Group to market risks and statements expressing management’s expectations, beliefs, estimates, forecasts, projections and assumptions. These forward looking statements are identified by their use of terms and phrases such as "anticipate", "believe", "could", "estimate", "expect", "goals", "intend", "may", "objectives", "outlook", "plan", "probably", "project", "risks", "seek", "should", "target", "will" and similar terms and phrases. There are a number of factors that could affect the future operations of Shell and the Shell Group and could cause those results to differ materially from those expressed in the forward looking statements included in this announcement, including (without limitation): (a) price fluctuations in crude oil and natural gas; (b) changes in demand for Shell's products; (c) currency fluctuations; (d) drilling and production results; (e) reserves estimates; (f) loss of market share and industry competition; (g) environmental and physical risks; (h) risks associated with the identification of suitable potential acquisition properties and targets, and successful negotiation and completion of such transactions; (i) the risk of doing business in developing countries and countries subject to international sanctions; (j) legislative, fiscal and regulatory developments including regulatory measures addressing climate change; (k) economic and financial market conditions in various countries and regions; (l) political risks, including the risks of expropriation and renegotiation of the terms of contracts with governmental entities, delays or advancements in the approval of projects and delays in the reimbursement for shared costs; and (m) changes in trading conditions. All forward looking statements contained in this announcement are expressly qualified in their entirety by the cautionary statements contained or referred to in this section. Readers should not place undue reliance on forward looking statements. Additional factors that may affect future results are contained in Shell's 20-F for the year ended 31 December 2012 (available at www.shell.com/investor and www.sec.gov). These factors also should be considered by the reader. Each forward looking statement speaks only as of the date of this announcement, 21 June 2013. Neither Shell nor any of its subsidiaries nor the Shell Group undertake any obligation to publicly update or revise any forward looking statement as a result of new information, future events or other information. In light of these risks, results could differ materially from those stated, implied or inferred from the forward looking statements contained in this announcement.
Shell may have used certain terms, such as resources, in this announcement that the SEC strictly prohibits Shell from including in its filings with the SEC. U.S. investors are urged to consider closely the disclosure in Shell's Form 20-F, File No 1-32575, available on the SEC website www.sec.gov. You can also obtain these forms from the SEC by calling 1-800-SEC-0330.