SapuraKencana awarded five contracts worth RM1.34b

PETALING JAYA: SapuraKencana Petroleum Bhd (SKPetro) has bagged five contracts worth a total of US$300 million (RM1.34 billion).

SKPetro shares fell one sen to close at RM1.74, with some 15.09 million shares changing hands following the announcement yesterday.

In a filing with the stock exchange, the oil and gas player said it was awarded a two-year contract by Petronas Carigali Sdn Bhd (PCSB) for the provision of underwater services.

The scope of work consists of underwater services together with vessels, air and saturation diving, remotely operated vehicle and other related underwater services, including inspection, maintenance and repair to support PCSB’s underwater facilities located at the offshore waters of Peninsular Malaysia.

The second contract from PCSB is for the provision of soil investigation services in both Peninsular Malaysia and Sabah/ Sarawak for a period of one year with an option to extend for another year.

SKPetro clinched a contract from Hyundai Heavy Industries for the installation work of CPP jacket and bridge for BARDEGG-2 and Baronia Enhanced Oil Recovery Development Project.

The work location is in East Malaysia and is scheduled to commence in the first quarter of 2017.

For the award of provision of transportation and installation of pipeline, substructure and topside for Bunga Pakma Development Project by Repsol Oil & Gas Malaysia Ltd, it is for a period of 12 months.

SKPetro was also awarded a contract by Brunei Shell Petroleum Sdn Bhd for the provision of its tender assist drilling rig SKD Alliance for five years with options to extend for another five years. The contract is scheduled to commence in April 2018.

These contracts are expected to contribute positively towards SKPetro’s earnings for the financial year ending Jan 31, 2017 and the respective period for contacts that extend beyond Jan 31, 2017.