ExxonMobil explains

San Miguel Corp was the best bidder as not only were they the highest (bidder) but they were the only ones who wanted to keep the Port Dickson refinery, says ExxonMobil

Read more: ExxonMobil explains http://www.btimes.com.my/articles/jrsmc/Article/#ixzz1WfNLZYvH

Kuala Lumpur: Ample opportunities were given to local companies to take over ExxonMobil's Malaysian business but they didn't make the cut because of low bids and they were not keen on keeping the Port Dickson refinery alive. ExxonMobil Corp vice-president Stafford Kelly said this was a major concern as the PD refinery has been around since 1963 and now employs 750 people. "In fact, out of the three final bidders from the initial 20 companies who applied, only one was a foreign entity while the others were two Malaysian companies, including the Armed Forces Fund Board (LTAT). "Everyone had an equal opportunity to submit their bid and at the end of the day San Miguel Corp (SMC) was the best bidder as not only were they the highest (bidder) but they were the only ones who wanted to keep the Port Dickson refinery. In fact, they plan to invest on it and hire more people," Kelly told Malaysian journalists during a teleconference held at ExxonMobil's headquarters from Houston, Texas, yesterday. On August 17, ExxonMobil struck a deal with SMC to sell its 65 per cent stake in Esso Malaysia Bhd, Exxon Mobil Malaysia Sdn Bhd and ExxonMobil Borneo Sdn Bhd for US$610 million (RM1.83 billion). Kelly revealed that out of the 20 companies that showed interest, seven were Malaysian firms. He also said LTAT never offered RM5.20 per share for Esso Malaysia as reported in the newspapers. "As far as we are concerned, this is a done deal," he said, referring to the sales and purchase agreement signed with SMC this month. SMC is a Philippine business conglomerate and the parent company of Petron, the largest oil refining and marketing company in the Philippines. Under the deal, SMC would end up owning the Port Dickson refinery, equity interest in ten fuel distribution terminals, 560 branded retail fuel sites as well as ExxonMobil's industrial and wholesale and aviation fuels businesses.