February 17, 2015

Shell Refining Posts Net Losses of RM1.18b For Year 2014

Shell Refining (FOM) Co Bhd reported a higher pre-tax loss of RM1.22 billion for the financial year ended Dec 31, 2014 against a pre-tax loss of RM223.34 million registered in 2013.

Revenue fell to RM14.26 billion during the period under review from RM14.69 billion registered previously due to lower product prices, the company said in a filing to Bursa Malaysia on Tuesday.

Shell Refining
said the refinery margins are expected to be weak.

"Operational and product quality will continue to remain the refinery's key focus area to maximise margin opportunities," it added.

Commenting on the results, Managing Director Amir Bakar said this year's financial results reflect the exceptionally challenging year the company faced amid a tough business landscape.

"The biggest impact was from stockholding loss, the result of steeply declining oil prices worldwide.

"We were further impacted by tight refining margins in 2014 from continued over-capacity in the marketplace," he said.

Source: Bernama