Paul Tan on the Automotive Industry
Royal Dutch Shell and ConocoPhillips signed an agreement yesterday to transfer 100% of Conoco Jet (Malaysia) Sdn Bhd shares to Royal Dutch Shell, in a move that would mean Shell now owns all 44 of ProJET petrol stations in Malaysia.
The ProJET stations will be rebranded to Shell stations in the next 6 months, adding to Shell’s existing number of over 830 stations in Malaysia.
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About the Author
After dabbling for years in the IT industry, Paul Tan initially began this site as a general blog covering various topics of personal interest. With an increasing number of readers paying rapt attention to the motoring stories, one thing led to another and the rest, as they say, is history. An avid electronic gadget aficionado as well as big-time coffee lover, he's also the executive producer of the Driven motoring TV programme.
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I hate SHELL, ProJET is much better in terms of Service and Shops.
Bad moved, someone wanna to MONOPOLIZED the business!
Personally, I seldom fill "S" petrol, unless emergency case..
I try calculate the asumption of fuel consumption before (litre/km) by filling different brand of petro, found that "S" always give me the poor result.
Oh no! No more ProJET!! Why!!?? This is sad news…
next in line… BHP…
Sad news. I prefer projet than Shell.
Woo this mean SHELL is really EVERYWHERE!!!!
Whilst i agree with NiceCar, projet also didn't give me any good result in terms of performance and mileage. In fact, Projet made my car feel sluggish.
I would only pump shell for the simple reason that i believe that their fuel quality is better, and the higher consumption is because of the cleaner combustion (all the fuel in the chamber gets burned up, hence no residual).
I welcome the move for projet to sell out, They weren't doing well anyway and there are some places i would like to have a shell instead of projet e.g. Sri Hartamas.
Hikaru said,
I would only pump shell for the simple reason that i believe that their fuel quality is better, and the higher consumption is because of the cleaner combustion (all the fuel in the chamber gets burned up, hence no residual).
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Is what Hikaru said correct? any comment for others?…..i do experience ths, whenever using shell higher fuel consumption compare to using petronas, hence i regularly use petronas….petronas can get average 16km/liter vs shell 15km/liter, btw using city idsi
if what Hikaru said that shell fuel are of better quality might consider changing to shell instead…
auctioncenter2u, if you owned shell, wouldn't you want to expand your business as well? besides, how can you say its a monopoly? there are hundreds of other brand petrol stations out there… BHP, Petronas, Esso, Caltex..etc. etc. etc.
I have yet to come across adulterated petrol from ant ProJet stations. But Shell a lot.
How do I know? I am still keeping my old 10 year old wira with a carburetted 12-valve 1.5 engine. This engine is very picky on the quality of petrol you feed it. If the petrol is mixed (i.e. reduced octane), it produce valves noise from pre-ignition. On ProJet, the engine is very quiet. But the engine protested to fuel from various Shell and Petronas stations.
ProJet actually guarantees the quality of its fuel. You can see the their guarantee statement on every pump! Shell or Petronas don't.
I do feel whenever I pump shell gas, my care feel more power compare to mobil. Maybe shell gas has more cleaning agent that clean my fuel injector while I dring it. This is what I felt, maybe some people felt shell gas actually caused their cars underpower.
dazt46,
I am also looking for confirmation of my feelings. It's just my two cents. Rebuttal and confirmations are welcomed.
Avanza,
On the other hand, my brother who drives a BMW feels that the car is also sensitive to the petrol it drinks during the start up. Shell give the smoothest start up (having changed nearly all mechanical parts).
I am suggesting this only. Maybe Projet needs to reassure ppl of their product they being relatively new comers? Just like BHP?
I don't know, fuel is a very subjective matter and only unbiase insiders can tell us the whole truth. But i quote from one UK magazine, the best fuels are the most fresh fuels (regardless of brand). Even reputed petrol also have bad batches.
I've liked projet fuel since the first day i tried it and have been using it since.
Good move ProJET. So do you meet your ROI objective/s?
IMO Projet offer a very good mixture of petrol as my car feel refresh, engine quiet while driving and its difference from old boys Shell and Petronas. Somehow, Projet managament don't have passion and interest for long term business. Sell it out for quick cash is much better than being in debt.
hondadriver said,
April 17, 2007 @ 10:32 am
Hey Kawan, if you wanna to expand your business you don't have to buy out all your competitors rights? Slowly Buying up your competitors also means Wanna to do MONOPOLY business, Now ProJET, next maybe BP, Next ….. until left SHell could be.
or may be this is a direvtive from the top "ppl" to buy over projet?
side track a bit… i hate the fact that ProJet given up its retail operations to tujuh sebelas, destina used to be a favorite hang out for many ppl… i still miss the slushhhh… much better than sluupppieee
I fill up with Petronas. Somehow the Carl Fogarty association and now Sauber etc. have made an impact on me subconsciously. Does it really matter what brand? Would be interesting if there's a survey here for readers to take.
Actually i feel sad when Shell took over Projet as i normally hangs out at the Projet for revision during my college days…. This is another story..
Based on my experience, let me share my experience :
Smoothness : Mobil & Esso, Petronas
Value For money : Esso & Mobil, Shell
Performance : Esso & Mobil
** Caltex / BHP / Projet : Not good for my car as it give me rough rides…..
After changing from Iswara to Avanza 2 months ago, I conclude that Shell gives me better mileage and value for money…. as my ful tank for avanza is RM 65 can go up to 450km and more (about RM 0.14/km)…
This is just my 2cents…..
Shell gives better mileage…. my avanza full tank RM 65 can go up to 450km and more ( RM 0.14/km)….
wahlaueh…
i never try out any Projet because neighbourhood here don't have Projet station. I prefer PETRONAS, feel it gives more power & mileage. My ranking will be1) Petronas 2) Caltex others will only be emergency choice. i use shell before & even my wife can feel the mileage drop & engine less responsive.
its business la.. What do you mean by "top people"??!?!
shell and projet are non-govt private corporations. If projet for whatever reason wants to exit the malaysian market, they put up their assets for sale, and the highest bidder buys it.. for shell and projet, its a win-win.. shell get to expand their business, without having to build new stations, just incorporate the existing projets into their network. projet gets to re-coup some of their initial investment.
If Projet are serious about continuing their business in Malaysia, they wouldnt put up their stations for sale. They are not "forced" to sell to shell. if not shell, someone else would have bought it. We only know the successful bidder which is shell
auctioncenter2u, if you are right, please help me answer these question then…
1) So are shell supposed to ignore this opportunity to expand their business?
2) Should Projet just shut down, and abandon their stations and lose all their money they've invested without selling anything to anyone?
wahtever fuel……….i will say that all are the same.shell, projet or petronas.
everyone have their own preferences…. just don't need to be defensive… we are here to express our opinion…. humble opinion….
I just went to ProJET.. once i think. Don't remember much, but I'm sure our streets will be more yellow from now haha. I don't care as long as I can get Bonuslink points hahaha.
OH NO! a good petrol station being taken over by a bad one!
everytime i pump shell, my car like no power like that…and it has lower mileage!!!!
ProJet is one of the better one around… !!!
whatever lah…
If I were SHELL's boss, Since Shell already having 830 over station in Malaysia, there are sufficient numbers of station to serve customers already. By adding additional 44 stations from ProJET which most of the station are closed to the existing one is really doesn't MAKE any sense. Furthermore, Most of the ProJET station I knew are very close to SHell Station. Almost 70% of it.
To answer your questions.
1) Expanding? What opportunity being offered to SHell? On the other hand, its only cost SHELL more on operating cost. No business expanding thought. Why having 2 or 3 station at the same location especially on the same side?
2) Honestly, ProJET should have sold it to those who had have no station around or their station are at least 2km away from ProJET's station. You might be correct, Maybe SHELL beat all the competitors by putting a highest offer to PRojet. ProJET had no second choice.
My opinion, after all SHELL moved seems to be moving towards Monopoly business not only for expanding I think. Hey Kawan, Its only my opinion NO OFFENSE Okay! CHeers~
Wonder what will happen to the 7-11s
hey what will happen to the projet contest ! ? Hope i win the Civic before they "tai pau" !
I think the civic tai pao already to Shell, LOL! But anywayz i felt that Caltex/Bhp is smoother after u use it full tank for a few times. While Shell i felt more torque but less hp, that why they claim their fuel is the most range per liter. But this is depend on the quality of the fuel. If the fuel already very long time no refill, the chemical inside like octane will vaporise and felt less performance. That why we can see a lot of ppl want to sell octane booster.
If got cash to buy V-power is good, but expensive to me, if want budget buy 1 octane booster and add 1 full tank of ron97 fuel. I guarantee your car will fly high.. lol just kidding.. Any brand also can, but i prefer Penzoil. Besides that, check your fuel filter,spark plugs, and also plug cables. Sometime is ur ignition system going crazy but not the fuel.. Anywayz my wira 1.6 auto can get 150km out of RM20 using shell, that RM0.13/km? Felt less compare to my friend kelisa manual, can get RM0.10/km. Damn!
when Shell are building 10 stations nation wide, Petronas are 30!
so who are the one that plays monopoly game… when there are Shell, a Petronas would "guard" nearby…
for any average consumer, when there lucky draw, both also can…. Me too!
oh dear, this is another globalized issue
auctioncenter2u said:
f I were SHELL’s boss, Since Shell already having 830 over station in Malaysia, there are sufficient numbers of station to serve customers already. By adding additional 44 stations from ProJET which most of the station are closed to the existing one is really doesn’t MAKE any sense. Furthermore, Most of the ProJET station I knew are very close to SHell Station. Almost 70% of it
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alo brader do you know what you talking about? petronas station almost double in total compare to shell. plus to build shell petrol station need a approval from petronas top management. now who's monopoly the business?
please do investigation before 'tuduh' other party.
transformer said,
when Shell are building 10 stations nation wide, Petronas are 30!
so who are the one that plays monopoly game… when there are Shell, a Petronas would “guard†nearby…
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totally agree with you about the station
FYI, it seems ConocoPhillips is leaving Thailand too. http://www.theedgedaily.com/cms/content.jsp?id=co…
Of the three bidders (Thailand's PTT, Shell & Petronas) PTT is the front runner of the pack for the RM700m deal which consist of 147 gas station.
ProJet has been looking to exit Malaysia for quite some time. I heard Petronas Dagangan did bid for the 44 stations, but Shell won in the end. Better offer I guess.
Looks like Shell will continue to lead the market here this year, but Petronas is fast catching up.
Projet, Shell, Petronas, Bhp, Etc.
Primax 3, Shell Super, etc = rm1.92/L
got any difference about the quality of their product mer??
i feel tat it's not the brand, but the station itself…if u feel tat ur car is sluggish after pumping at 1 particular shell station, try going to another shell station…it's the boss of the station who r having some "hidden agenda"…
i've experienced this a lot of times…
it's not a wonder why Mohzani Wahab is the GM of Shell and not auctioncenter2u.
If there's no value to buy ProJet, do you think a few companies will bid for it?
Good news la… I always pump Shell. Was using Petronas last time until they upgraded to Primax 3 and my car's FC went up. Stick with Shell and it's really economical.
Here in Kota Damansara, there are 2 ProJets. Now with the new deal, there will be 3 Shell stations! Woohoo!
Well…I dunno about you guys…. I have been pumping Shell petrol for 3 years already…… due to better fuel economy and also bonuslink! Also I am in sales line…… the number of shell stations around were very convinient for me all the time…… !
FOOOLSSSSS!!!… all fuels are filled at the bloody same depot at port klang….
just different scents…
maibatsu_thunder said,
April 17, 2007 @ 1:59 pm
I fill up with Petronas. Somehow the Carl Fogarty association and now Sauber etc. have made an impact on me subconsciously. Does it really matter what brand? Would be interesting if there’s a survey here for readers to take.
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kei9 said,
April 17, 2007 @ 3:01 pm
wahtever fuel……….i will say that all are the same.shell, projet or petronas.
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juggernaut said,
April 25, 2007 @ 7:12 pm
FOOOLSSSSS!!!… all fuels are filled at the bloody same depot at port klang….
just different scents…
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Actually, each oil company processes their fuel differently with different chemical mixtures and octane ratings.
The main differences between the companies comes from the actual quality of petroleum they use in the first place, followed by their processing techniques and chemical additives.
Petronas actually drills some of the highest quality petroleum in the world, but they don't use it here. Instead they export it and buy back cheaper oil. This is why Malaysia's oil import is still considered zero although we do import oil.
As for the chemicals, the companies usually have their own criterias and objectives for their fuel. Some want it for milage, some for perfomance and others for other issues. Each of this invokes different chemicals and the chemicals themselves have different quality levels. If I'm not mistaken, one of the chemicals Shell uses is something they call Vapron which is supposed to make their petrol evaporate faster.
This allows those little droplets of petrol in your cyclinder to vaporate and form even smaller droplets, thus making your burning much cleaner and giving you much more power. I think the V in V-Power refers to Vapron (not too sure about this).
Likewise, other companies have other criterias to fullfil and there are many many criterias ranging from power and milage to petrol's lubricative effects.
Regarding fuels being filled in the same depot:
Not all the fuels in the depot are the same. You can store many different fuels in one place yet keep them separated. There's also another depot owned by Petronas near Cyberjaya. I always see Petronas tankers as well as Shell tankers going in and out. Dosen't mean they're carrying the same fuel.
only on emergency i will go petronas..
99% the time will go shell.
WHY? because the ‘sulfur’ or sulfat in BM level is too high in ptronas… and this material is the main cause of engine damage. Ya, up to 0.5% sulfur oxide. Imagine how many you already feed into your car. No wonder their ads keep showing cleaner engine…. ya loo… the sulfur cut engine material maa. Doesnt told you meh!
thats one of reason the fuel not famous aboard. And have to focus on selling syntatic lubricant instead.
Since the ptronas is very large market share in local… wondering what makes this local company digging petroleum from own country… can selling at 1.92 as well.
even in bangladesh, they produca lots of NG gas… those gas are gov harvest and later selling at lowest price. Until most vehicle are converted into ng… imagine how cheap is that.
And why can the petrol we dig from own land cant sell cheap at local?
another concern is that local fuel will be empty in short coming 5-7 years (as i reading a aus review).