AKR to boost capacity of fuel storage tanks to 1m kl
Tuesday, August 2 2016 - 02:25 AM WIB
IDX-listed fuel distribution and logistics company PT AKR Corporindo Tbk aims to build more fuel storage tanks over the next three years to boost capacity to 1 million kilo liters from the current 656,000 kl.
AKR Director Suresh Vembu said on Monday that the expansion in the capacity of the fuel storage tanks is needed to meet the government?s target for fuel distributors in the country to have operational reserves of at least 30 days of supply.
?We now have 656,000 kl (capacity). The plan is in three years to reach 1 million (kl),? Suresh said, adding that total investment to realize the target is estimated at around Rp 6 trillion.
He said that with the existing capacity, the company?s operational reserves stood at around 20-25 days of fuel supply.
Meanwhile, Bisnis Indonesia quoted Marketing and Sales Director of state-owned oil and gas firm PT Pertamina, Ahmad Bambang as saying Tuesday that the company?s operational reserves for automotive diesel has reached 32-day supply, exceeding the government?s target of 30-day supply. Operational reserves for its Premium brand gasoline, however, is still at 21-day supply.
Elsewhere, Suresh said that AKR plans to build 30 new gasoline stations this year, which will increase the number of gasoline stations owned by the company to 159.
He added that the company will continue to increase the number of its gasoline stations over the next three years.
Meanwhile, Suresh said that the company?s fuel supply volume in the first semester of this year declined by 5 percent year-on-year. Nevertheless, the company still expects fuel supply volume to increase by around 8 percent this year.
In the first semester of this year, AKR booked a net profit of Rp 586 billion.
Editing by Reiner Simanjuntak