PDZ’s fund­ing for oil and gas ven­ture in ques­tion

The Sun (Malaysia) - - SUNBIZ -

PETALING JAYA: PDZ Hold­ings Bhd’s failed fund rais­ing ex­er­cise begs the ques­tion of how it will ac­quire the nec­es­sary fund­ing for its oil and gas di­ver­si­fi­ca­tion plan, which has been on the cards for two years now.

In a fil­ing with the stock ex­change, the marine trans­port firm said it had de­cided to with­draw the ex­ten­sion of time ap­pli­ca­tion for its pro­posed spe­cial is­sue, rights is­sue with war­rants and is­suance of re­deemable con­vert­ible pref­er­ence shares.

Re­call that PDZ had in Novem­ber 2014 en­tered into a frame­work agree­ment with Ken Mak­mur Hold­ings Sdn Bhd for the pro­posed pro­duc­tion of liq­ue­fied petroleum gas (LPG) and con­den­sate from the nat­u­ral gas sup­plied by Ken Mak­mur from the Rakushech­noye oil and gas field in Kaza­khstan.

How­ever, the weak ring­git put pres­sure on the con­struc­tion cost of a LPG plant in Kaza­khstan, on which work was to have started in the sec­ond quar­ter of this year. The en­try cost for the project is US$205 mil­lion (RM889.5 mil­lion).

The di­rec­tors of Ken Mak­mur are the sub­stan­tial share­hold­ers of Su­matec Re­sources Bhd, in which lo­cal ty­coon Tan Sri Halim Saad owns a 20.79% stake.

Mean­while, Halim yes­ter­day is­sued a state­ment dis­tanc­ing him­self from PDZ manag­ing direc­tor Amin­ud­din, whom PDZ’s sub­stan­tial share­holder Pe­labu­ran Mara Bhd is look­ing to re­move from the board, af­ter news re­ports which he said hinted at links be­tween the two.

Halim said while Amin­ud­din has pre­vi­ously served in com­pa­nies re­lated to him, he had not sug­gested the ap­point­ment of Amin­ud­din as a direc­tor of PDZ.

He stressed that Amin­ud­din joined the board in 2013 be­fore the emer­gence of Pe­labu­ran Mara as the sub­stan­tial share­holder in PDZ.

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