Emerald Oil signs oil export MoU amid auction process
Emerald Oil has signed a memorandum of understanding (MoU) with a Japanese company for exporting oil amid the ongoing auction process of its factories following a case filed by BASIC Bank against the company in 2017.
Emerald Oil, a listed company, signed the MoU with Japanese company Be Born Co Ltd on Thursday, according to a press release. As per the agreement, the company will export 3,000 tonnes of crude oil annually.
Ashraful Alam, chief accounting officer of Emerald Oil, and Shingo Miyauchi, chief executive officer of Be Born Co, signed the agreement on behalf of their companies, respectively.
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Afzal Hossain, managing director of Emerald Oil Industries, said, "Oil export agreement has been signed. The export of oil will start after all necessary approvals. Exports are likely to start in the next three to four months."
Meanwhile, the process of auctioning the assets of the company has started.
As per the order of the court, an announcement of the auction was made in the factory area on 17 July. Later, the bank will publish a notification regarding the auction of the company's assets.
Former owners of Emerald Oil took a loan of around Tk60 crore from BASIC Bank. They flew abroad without repaying the loan.
A case is going on against former managing director Syed Hasibul Gani Galib and others.
In 2021, Minori Bangladesh, a subsidiary of Japanese farming company Minori Co Limited, got approval from Bangladesh Securities and Exchanges Commission (BSEC) to bring the company back into production by investing more than Tk40 crore.
Emerald Oil, a producer of the most forgotten rice-bran oil "Spondon", was out of production for five years as its original owners fled for a loan scam.
The shares of the company have been increasing abnormally for the last three months.
On 24 April, the price of each share of the company was Tk43.3, but on 12 July, the share price rose to Tk182. After that, the share price decreased slightly but was traded at Tk165.1 last Thursday.
