SINGAPORE: Fuel provider Union Gas Holdings on Monday (Jun 24) said it was monitoring the impact of disruption to its Liquefied Petroleum Gas (LPG) supply after a huge fire at one of its suppliers’ facilities in Jalan Buroh.
The fire broke out on Friday evening at the bottling and storage facility of Union Gas supplier Summit Gas Systems, a subsidiary of Union Energy Corporation (UEC).
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One worker was killed and two others were taken to hospital with burn injuries from the incident.
In an SGX filing on Monday, Union Gas said operations at the Summit facility have been suspended and moved to the bottling and storage facility of another supplier, Semgas Supply.
“UEC has given its assurance that it will honour all the LPG fulfilment to the company,” said Union Gas. “Management has been in discussion with Summit and will work with both Summit and Semgas Supply to ensure that there is minimum disruption to the supply of bottled LPG cylinders.”
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It added it was in the process of “assessing and monitoring the impact of disruption to the supply of bottled LPG cylinders of the Group caused by the accident”, and will provide further updates to shareholders if it suffers any material impact from the incident.
The company also expressed its condolences to the family of the worker who died in Friday’s fire.
“One employee from Summit was killed in the accident,” it said. “The company deeply regrets the fatality and expresses its deepest condolences to the family of the employee of Summit.”
Union Gas is one of the leading providers of bottled LPG cylinders to homes in Singapore, with its retail LPG business serving more than 140,000 households.
It depends on UEC for the supply of bottled LPG cylinders for sale to its customers through two dealership agreements – one with Summit and the other with Semgas Supply.
A subsidiary of UEC, Summit is not part of the Union Gas group.
The controlling shareholder and non-executive chairman of Union Gas Teo Kiang Ang has about a 61.89 per cent stake in UEC, in which he is also a director.
Chief executive officer of Union Gas Teo Hark Piang, who is also an executive director, has about a 12.55 per cent stake in UEC, in which he is also a non-executive director.
The fire on Friday engulfed a facility about the size of two football fields involving hundreds of LPG cylinders.
The Singapore Civil Defence Force (SCDF) took about six hours to extinguish the fire, calling it the largest fire involving LPG cylinders it has had to combat.
