Handal wins three-year contract from ExxonMobil
PETALING JAYA: Integrated offshore crane services provider and fabricator Handal Resources Bhd has won a three-year contract from oil major ExxonMobil Exploration and Production Malaysia Inc.
In a filing with Bursa Malaysia, the company announced that its wholly owned subsidiary, Handal Offshore Services Sdn Bhd (HOSSB), has secured the contract to provide onshore overhaul, major repair and refurbishment services for offshore cranes from ExxonMobil.
The contract which is effective from July 27, 2017 until July 26, 2020, comes with an option for one year extension.
“The value of the services to be rendered will only be determined at the point of time that the service is being provided during the tenure of the contract and is expected to contribute positively to increase in earnings and net assets per share of the Handal group for the financial year ending Dec 31, 2017,” Handal Resources said.
The company added that it was actively on the look-out to replenish its order book.
Moving forward, the ExxonMobil contract is expected contribute positively to the integrated offshore crane services provider’s performance for the financial years ending December 31, 2017 to 2020.
Note that the latest contract expands the scope of works for Handal Resources, since winning an earlier maintenance services contract in April 2017.
In a separate press release, Handal Resources group advisor and deputy managing director Joel Emanuel Heaney expressed his optimism on the latest contract win.
“With this latest contract award, HOSSB is now contracted to undertake an expanded scope of works for offshore cranes, hence affirming our strong position as the main provider of integrated crane services for multinational oil players.
“Our well-equipped and strategically-located facilities in Kemaman, Terengganu, together with our strong track record, place us in favourable stead to serve oil majors effectively,” said Heaney.
At the close of trading yesterday, the Main Market-listed Handal Resources’ share price was up by 14.29% at 24 sen, with 671,400 shares done.