Straits Inter Logistics in talks with HK firm Banle Energy

The company said in a stock market announcement that it had entered into a heads of agreement (HOA) with Banle Energy International to explore potential business cooperation and / or collaboration opportunities between the two companies

“The HOA forms the basis of consensus and mutual interests between the Company and Banle in pursuing business cooperation/ collaboration and/or partnership agreement for the purpose to further expand their business operations and geographical coverage,” Straits said.

Banle is a Hong Kong-based company set up in 2015 and is mainly involved in the trading of bunker oil and provision of marketing administrative service. According to Hong Kong company records there is also another related company Banle Shipping, which was set up in 2016.

The company lists Lu Xiaoling, and Chia Teck Lim as its directors and CBL (Asia) Limited as a 100% shareholder.

Chia Teck Lim is a former executive director of oil trading and bunkering group Brightoil Group. He had been responsible for the management of the shipping and marine bunkering businesses.

While emphasising that the agreement, which is valid for four months, is non-binding and only meant to facilitate negotiation, Straits said: “Banle is engaged in the trading of bunker oil and provision of marketing administrative service, which is similar to Straits’ business activities in oil bunkering and trading in oil products.”

Suggesting that this would be a good fit for the company, Straits added that the HOA will allow the companies “to explore potential business cooperation / collaboration opportunities which include, but are not limited to, joint venture, business partnership and/ or acquisition of equity stake between the Parties to further expand their business operations and geographical coverage”.

Straits, under md Ho Kam Choy has staged a dramatic turnaround in fortunes since focusing on the bunkering and oil trading business last year.

“Moving forward, Straits is positioning itself as a major Marine Logistics company in the provision of premium oil bunkering services to marine and cargo bulk transporters, oil and gas vessels, FPSO vessels, cruise ships and ferries,” Ho had earlier said.

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