National Gas Company (NGC) said that its board of directors has decided to dissolve its wholly-owned s u b s i d i a r y Shoulat al Aman Gas Company, which is engaged in LPG distribution.
NGC's decision to dissolve Shoulat al Aman comes a day after the company announced that it is in active discussions to sell its entire 70 per cent stake in another subsidiary, Innovative Energy Systems. According to a disclosure to the Muscat Securities Market (MSM) on Tuesday, the company said that it has discontinued commercial operations of Shoulat al Aman.
“The company has decided to dissolve Shoulat al Aman. It is intended that the dissolution of Shoulat al Aman will be undertaken strictly in accordance with the applicable provisions of the commercial companies law of Oman,” NGC said in its disclosure. The company said that the board of directors resolved to dissolve the unit due to an overlap in LPG distribution activities conducted by Shoulat al Aman and those of the company’s distributors.
“The company will issue periodic updates on the progress of the dissolution of Shoulat al Aman and its eventual liquidation,” NGC added.