As a part of business expansion, state-owned Jamuna Oil Limited has signed an agreement with Delta LPG Limited to sell liquefied petroleum gas (LPG) or auto gas.
Jamuna Oil disclosed the information on the websites of Dhaka Stock Exchange (DSE) and Chittagong Stock Exchange (CSE) on Monday.
As per the agreement, Jamuna Oil will sell the LPG and petroleum oil of Delta through the former's registered filling stations and the company will receive a royalty or commission of Tk0.5 per litre of LPG sales.
The LPG sector is booming in Bangladesh under the current government's initiative. It has a huge prospect of opportunity growth which has created the scope for setting up more LPG satellite plants to meet future demand of LPG in the household and transportation sectors.
Delta LPG is an emerging LPG company incorporated in 2016. The company is equipped with cutting edge technology in the LP Gas filling, bottling and cylinder manufacturing process with brand new machinery and equipment from Chinese, Indian and European suppliers.
Jamuna Oil Company Limited, a subsidiary of the Bangladesh Petroleum Corporation, markets fuel and petroleum products. The company was listed on the stock exchanges in 2007.
The overall aim of the company is to ensure the supply of fuel oil, LPG, bitumen, and lube oil at people's doorsteps.