Dialog Group Berhad has commenced the expansion of Phase 3 of its Pengerang Deepwater Terminals (PDT) in Johor, following the fulfilment of key conditions tied to a long-term storage agreement with BP Singapore Pte Limited.
The group said the expansion will add approximately 614,000 cubic metres of additional tank storage capacity for refined petroleum products and biofuels. The project is expected to be completed by mid-2028.
BP Singapore will serve as the dedicated long-term customer for the new capacity under the agreement, providing Dialog with a stable and recurring revenue stream.
Dialog noted that the expansion aligns with its strategy to grow long-term recurring income through its tank terminal operations, particularly at the Pengerang hub, which has become a key regional storage and logistics centre.
The Phase 3 development is part of the group’s broader, phased approach to expanding the Pengerang Deepwater Terminals, located in southeastern Peninsular Malaysia.
Beyond storage income, the project is also expected to create additional opportunities across Dialog’s integrated business segments, including engineering, construction, fabrication and plant maintenance.
The group said the expansion will enable it to leverage its in-house capabilities to deliver end-to-end solutions, further enhancing operational synergies within the organisation.
