DIALOG Group Bhd has teamed up with national shipping firm MISC Bhd in a joint venture to develop tankage facility for storage and break-bulking and a tank terminal at the Port of Tanjung Langsat in Johor. Dialog, a technical service provider in the oil, gas and petrochemical industry, and MISC signed a shareholders' deal yesterday. Dialog has a controlling 55 per cent stake in the new venture, which is called Dialog CTF Sdn Bhd, with MISC Holding the remaining 45 per cent. In its filing to Bursa Malaysia yesterday, Dialog said it will fund the share subscription in Dialog CTF via internally-generated funds and/or bank borrowings. "The breakdown of the funding is pending finalisation," it added. Dialog also said Dialog CTF will hold an 80 per cent stake in Langsat CTF Sdn Bhd and langsat Terminal (One) Sdn Bhd respectively. The balance 20 per cent interest will be held by Trafigura Beheer BV, a global energy trader, via its wholly-owned subsidiary, Puma energy Asia Pacific BV. Langsat CTF and Langsat Terminal (One) were awarded a 30-year option, by Port of Tanjung Langsat to design, develop, manage, operate and maintain the tankage facility and tank terminal. "The joint venture will pave the way for Dialog and MISC to be strategic business partners in the equity ownership and development of the projects," said Dialog. "With Dialog's expertise in centralised tankage facilities and tank terminal development and MISC's strengths in the global energy shipping and shipping logistics, the strategic alliance between the two parties is to enhance the development of tank terminal business within the Port of Tanjung Langsat," it added. Within 30 days from the date of signing the deal, Dialog and MISC will take steps to increase the authorised and issued paid-up capital of Dialog CTF, which currently stands at RM100,000 comprising of 100,000 ordinary shares of RM1 each and an initial issued and paid-up share capital of RM2. Dialog said the joint venture is not expected to have material effects on its earnings for the current financial year ending June 2008. | 
