Shell plans to open 40 more stations in Malaysia next year

KUALA LUMPUR, Dec. 23 (Chinese media) -- Shell Malaysia plans to open another 40 petrol stations next year despite the current challenging economic environment, Managing director of Shell Malaysia Trading Sdn Bhd and Shell Timur Sdn Bhd, Mohzani Abdul Wahab said here on Tuesday.

The new petrol stations will be built either by the company or by its dealers, Mohzani said after the official opening of Shell Malaysia's 38th petrol station for this year.

One station will cost an average of 8 million ringgit (2.31 million U.S. dollars) to 10 million ringgit (2.88 million U.S. dollars), depending on location, he said.

"There will be growth for our petrol stations business but the question is to what degree. We expect a bit of slowdown but things will still be positive," Mohzani said.

Petrol demand is usually in line with the growth of gross domestic product (GDP), he said, adding that the industry is expected to grow around three percent next year based on the country's GDP forecast.

Malaysian government has cut its GDP forecast to 3.5 percent for 2009 from 5.4 percent earlier.

"Our fortune will depend on how the economy turns out. So if things slow down, we will also be affected," Mohzani said.