Autogas is another name for LPG when it is used as a fuel in internal combustion engines in vehicles
Padma Oil, the publicly listed state-owned petroleum distributor, has announced its plan to expand the business of selling autogas.
The company, which is a subsidiary of the Bangladesh Petroleum Corporation, signed agreements with Bashundhara LP Gas and Petromax LPG to sell liquefied petroleum gas (LPG) by establishing autogas refuelling stations, according to a notification on the Dhaka Stock Exchange website.
Autogas is another name for LPG when it is used as a fuel in internal combustion engines in vehicles.
The refuelling stations will be set in the registered filling stations of Padma Oil, which will operate in parallel to their existing fuel oil sales, said the statement.
According to the agreements, Padma Oil will receive a royalty of Tk 0.50 against per litre sale of autogas.
In September last year, the petroleum distributor inked autogas sale agreements with Omera Gas One, Beximco LPG Unit-1 and Energy Pack Power Generation.
The news failed to give much of a lift to Padma Oil’s share price.
Each share of the company, listed on the Dhaka Stock Exchange since1976, closed at Tk 191.3 on Sunday, up 0.9 per cent from the previous session.
The company logged in profit of Tk 110 crore in the first half of its 2020-21 financial year, which runs from July to June, down 16.1 per cent year-on-year, as the pandemic continues to weigh heavy on its bottom line.