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Shell introduces new fuel economy formula

By: Azlan Abu Bakar, Business Times (Malaysia)
Published: Jul 14, 2006

OIL company Shell Malaysia Trading Sdn Bhd expects the introduction of its latest retail innovation, the new Shell Super, would help maintain the company’s position in the market.

Shell Malaysia Trading and Shell Timur Sdn Bhd managing director Mohzani Abdul Wahab said the new fuel economy formula, which replaces the “Better Mileage” formula is designed to promote engine cleanliness and friction reduction for improved engine efficiency.

Mohzani believes the new Shell petrol formulation will help the company defend its dominant market share of 36 per cent in the Malaysian retail petrol market as competition from Petroliam Nasional Bhd and ExxonMobil intensifies.

“This year will be interesting as we hope to sustain our growth and see how the market reacts within the next few months with the new fuel,” he told reporters after launching the new Shell Super in Kuala Lumpur yesterday.

He is confident the new fuel would be well accepted by consumers as it is an energy-efficient petrol thus giving better mileage to consumers.

The new product will be available at all Shell kiosk nationwide by today.

Mohzani also noted that Shell plans to add 20 petrol stations to its network, bringing the total to 850 petrol stations by the end of the year.

He said the company plans to open new petrol stations in the Klang Valley, Penang, Johor Baru and areas along the North-South Expressway such as Tapah, Seremban and Bangi.

However, it has no plans as yet to introduce natural gas vehicle (NGV) facilities at its petrol stations.

“We are open to the idea of supplying NGV, provided it is economical.

“Now the investments are too high,” he said, estimating that the NGV facilities will result in a petrol station operator incurring an additional RM1.5 million to the average RM8 million-RM10 million in investments for a new petrol station.

Last year, Shell Malaysia Trading sold some five billion litres of petrol and diesel.

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