DIALOG Group Berhad has announced the expansion of Phase 3 of the Pengerang Deepwater Terminals in Johor following the signing of a conditional long-term service agreement between DTP5, DTSB, and bp Singapore on 18 November 2025. The agreement will add 614,000 m³ of storage capacity for refined petroleum products and biofuels, with bp Singapore as the dedicated long-term customer. Completion is expected by mid-2028.
Phase 3 PDT, launched in 2018, plays a central role in DIALOG’s midstream development strategy and aims to position PDT as the largest petroleum and petrochemical hub in the Asia Pacific region. The initial 430,000 m³ of storage under Phase 3 began operations in March 2021. Upon completion of the current expansion, total storage capacity will reach 1 million m³ across 48 tanks, supported by five new berths to enhance marine handling capabilities.
Designed as an integrated terminal, Phase 3 provides port and marine operations, multi-product storage, deepwater jetty facilities, interconnecting pipelines, and shared utilities. It also supports downstream activities within the Pengerang Integrated Petroleum Complex and across the region. The expansion is aligned with DIALOG’s goal of growing recurring income and creating opportunities for its engineering and maintenance divisions.
PDT, operational since 2014 and spanning approximately 1,200 acres, includes four terminals and three jetties capable of accommodating VLCCs and Q-Max LNG vessels. About 660 acres remain available for future development. The expansion furthers DIALOG’s long-term vision for PDT as a major regional petroleum and petrochemical hub.
Work will begin after all conditions precedent—including regulatory approvals and bp Singapore’s due diligence—are fulfilled. The project will be funded through internally generated funds and borrowings. No liabilities will be assumed by DIALOG other than performance guarantees.
DTP5 and DTSB, both part of the DIALOG Group, oversee storage terminal operations and investment holding respectively. bp Singapore, a subsidiary of BP International Limited and BP p.l.c., is engaged in marketing and trading petroleum products.
The expansion will not affect DIALOG’s share capital or substantial shareholdings and is not expected to materially impact earnings in FY2026, though it is projected to contribute positively thereafter. Risks include economic, geopolitical, regulatory, and operational factors, which DIALOG aims to manage effectively. No directors or major shareholders have any interest in the LTSA.
For more information visit www.dialogasia.com
