HULU LANGAT: KUB Malaysia Bhd has spent about RM10 million to RM11 million to build a new mini satellite bottling plant in Beranang to produce 4,000 liquefied petroleum gas (LPG) cylinders a day.
President and group managing director Datuk Abdul Rahim Mohd Zin said the new plant, complementing its exisiting one in Klang, is set to help reduce the logistic cost for LPG distribution around the area.
"The new plant will cater to the potential growing demand in LPG in the domestic and commercial markets," he said at the launch of a new Solar Gas warehouse here for LPG distribution in the area.
Abdul Rahim said the firm aspires to achieve a number two spot in terms of market share after Petroliam Nasional Bhd.
"In the next five years, we aim to get a market share of 18 per cent. We currently have around 10 per cent share in the market," he added.
LPG business contributes about 70 per cent to the firm's total revenue and profits.
LP Gas Trading, KUB's LPG dealer, has set up a warehouse in Hulu Langag to distribute Solar Gas brand in the surrounding household, retails and commercial areas.
The firm has spent about over RM1 million for the new warehouse.
Abdul Rahim said the appointment of LP Gas Trading is in line with the group’s efforts to strengthen its dealer network, especially in the central region.
The Solar Gas comes with a new logo and image as part of KUB's re-branding efforts.
This initiative cements KUB’s commitment in ensuring its cylinders are of high quality and safety, Abdul Rahim said.
Customers can expect to see more of the new cylinders in the market starting July 2019.
Having served as one of the LPG suppliers in Malaysia for nearly 50 years, KUB is looking for more business partners to become Solar Gas dealers.