Dialog eyes enlargement | The Star

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PETALING JAYA: Dialog Group Bhd will proceed to concentrate on diversifying its companies within the vitality sector and increasing into renewable vitality to make sure that the group is ready to climate the totally different financial cycles.

Given the enhancing market outlook, it stated the time was proper for it to develop and deepen its upstream investments according to its diversified enterprise mannequin technique.

“Elevated upstream actions additionally present added alternatives for us to take part in different components of the worth chain within the subject redevelopment cycle, significantly within the provision of engineering and specialist technical providers,” government chairman Tan Sri Ngau Boon Keat stated within the firm’s 2021 annual report.

Within the midstream enterprise, it should additionally concentrate on the continuing growth of Pengerang Deepwater Terminals into the biggest petroleum and petrochemical hub for the Asia-Pacific area.

He famous that international oil demand is forecast to proceed its rebound from 2021, albeit at a decrease stage, of which Asia is estimated to account for 90% of oil demand development by means of to 2026.

Based on the Worldwide Vitality Company, following the unprecedented collapse in demand in 2020 spurred by the Covid-19 disaster, world oil markets at the moment are rebalancing.

Nevertheless, Ngau added that the general financial surroundings is anticipated to stay extraordinarily difficult within the brief to medium time period because the extended Covid-19 pandemic and unfold of recent variants are dampening the outlook.

He additionally identified that the outlook for oil demand has shifted as a result of speedy modifications in behaviour brought on by the pandemic and the worldwide focus in the direction of a extra sustainable low-carbon future.

“In view of the above, Dialog will stay centered and steadfast within the pursuit of key long-term methods, which have helped the group climate totally different financial cycles prior to now,” he stated.

These methods embody diversification throughout the upstream, midstream and downstream companies of the vitality sector, enlargement into renewables, together with clear and inexperienced vitality in addition to recycling ventures as a part of the round economic system, and rising its long-term recurring earnings throughout all companies.

He additionally stated the group will look into the energetic recruitment, growth and retention of expertise and search to domesticate robust relationships with its stakeholders.

“With our devoted administration group and the long-term enterprise methods above, we stay assured that our enterprise is effectively structured to handle and maintain itself by means of durations of financial uncertainty, oil worth volatility and foreign money actions.”

Whereas the world skilled lockdowns through the extended Covid-19 pandemic, Ngau famous that the group’s companies have largely been categorised as important within the respective international locations the place it operates.

Subsequently, the group was capable of proceed its operations all through the pandemic at varied capacities in compliance with the associated native well being necessities.

“Throughout this era, the group has continued to take precautionary measures to protect money stream, monetary energy and stability. These embody enhanced credit score danger monitoring controls, reprioritisation of capital and operational expenditures, and ongoing value administration initiatives,” he stated.



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