KUALA LUMPUR: Petronas Dagangan Bhd (PetDag) has entered into six additional sale and purchase agreements with PETCO Trading Labuan Company Ltd (PTLCL) in relation to the selling of working inventory and deadstock in the storage tank at selected PDB fuel terminals for RM34.78mil.

       PetDag said it had embarked on Project DOVE in May 2020, where one of the key elements of the project was the introduction of a new operating model (NOM).

       Under the NOM, PetDag would no longer own inventory at selected terminals, and the management, as well as ownership of the aforementioned inventories, are transferred to PTLCL.

       “By adopting this NOM, PetDag will be able to eliminate exposure to unfavourable Means of Platts Singapore movement which will ensure PetDag’s product cost is competitive and reflective of the current market prices,” it said. — Bernama