Investors are looking at the Ampol Ltd (ASX: ALD) share price with fondness on Friday.
Shares in the fuel retailer are forging a path to the upside today amid a further move into the electric vehicle charging industry. At the time of writing, the Ampol share price is swapping hands for $33.95, representing a rise of 1.4%.
Plugging in and rolling out
The latest household inflation data from the Australian Bureau of Statistics showed transport as the segment with the largest increase year on year. Feverishly high fuel prices are being felt by the consumer, highlighting the price comparison to running an electric vehicle (EV).
In response, Ampol is taking action to remain relevant in an electric future. According to a media release, the company is upping its efforts with the unveiling of its EV charging brand, AmpCharge. The Ampol share price suggests investors are content with the move.
Alongside this, Ampol announced its plan to roll out a national network of EV charging points by leveraging its existing fuel distribution network.
Interestingly, the company won’t be stopping the offering at the bowser. Instead, Ampol intends to make AmpCharge an ‘at-home’ product as well. Notably, this will be a component of a broader home energy offer.
Providing comment on the announcement, Ampol managing director and CEO Matt Halliday said:
I’m pleased to today unveil our full-service electric vehicle fast-charging ecosystem, AmpCharge, leveraging our existing network, skills, and infrastructure to provide a diverse and comprehensive charging network that can minimise range anxiety and support the uptake of BEVs in Australia.
Moreover, Halliday highlighted the company’s position to shift with the times, stating:
We’ve been keeping Australians moving for over 120 years. Today, as energy needs evolve, our vision is to become Australia’s leading distributer of energy, providing mobility solutions for any of the vehicles our customers drive, anywhere and anytime they need it.
The Ampol share price has been on an uptrend this year amid its acquisition of Z Energy.
Ampol intends to kick off its EV ambitions with five pilot sites. These will be located at service stations in Carseldine QLD, Alexandria NSW, Northmead NSW, Altona North VIC, and Belmont WA.
Additionally, the company is aiming for around June to July this year for those sites to be operational with EV charging points. From there, the network is slated to expand to approximately 120 locations by October 2023.
Reportedly, 300 EV charging units have been ordered across three suppliers to bring the plans to life. It is believed that the Aussie EV charging success story, Tritium, is in the mix of suppliers.
Ampol share price recap
The Aussie fuel seller has enjoyed a solid year so far in 2022. Already, the Ampol share price is up nearly 13% this year. Whereas the broader Australian share market is in the red. Unsatiable demand for energy products amid geopolitical contention has offered a strong tailwind for Ampol.
Finally, Ampol is now trading on a price-to-earnings (P/E) ratio of about 14.5 times. Meanwhile, the Australian oil and gas industry average is 12.1 times.
The post Ampol share price lifts amid electrifying new EV charging plans appeared first on The Motley Fool Australia.
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