INVESTOR RELATIONS

FORM OF NOTICE OF CONVERSION OF 5-YEAR 3.5% REDEEMABLE CONVERTIBLE UNSECURED LOAN STOCKS ("RCULS" OR "BARAKAH-LA")

BURSA ANNOUNCEMENTS
Date: 17 July 2018

OTHERS BARAKAH OFFSHORE PETROLEUM BERHAD LETTER OF CONTRACT EXTENSION - UMBRELLA CONTRACT FOR PAN MALAYSIA TRANSPORTATION AND INSTALLATION OF OFFSHORE FACILITIES


Type Announcement
Subject OTHERS
Description

BARAKAH OFFSHORE PETROLEUM BERHAD

LETTER OF CONTRACT EXTENSION - UMBRELLA CONTRACT FOR PAN MALAYSIA TRANSPORTATION AND INSTALLATION OF OFFSHORE FACILITIES

INTRODUCTION

Barakah Offshore Petroleum Berhad ("Barakah" or the "Company") is pleased to announce that its wholly-owned subsidiary company, PBJV Group Sdn. Bhd. ("PBJV"), has received a conditional contract extension from PETRONAS for the provision of transportation and installation of offshore facilities ("Contract"), via a letter of contract extension dated 16 April 2018. The Umbrella Contract, which is due to expire in December 2018, has been extended to 26 December 2019.

 

INFORMATION ON THE CONTRACT AND FINANCIAL EFFECTS
 

The Contract includes transportation and installation of facilities such as pipelines, structures and related equipment for offshore oil and gas fields for PETRONAS and Production Arrangement Contractors (PACs) within Malaysia. The Contract total value will depend on the actual work orders issued by the clients during the Contract period which will be based on mini bidding exercise among the Umbrella Contractors. Depending on the actual value of work orders to be secured, the Contract is expected to contribute positively towards the earnings and net assets per share of Barakah Group for the entire duration of the Contract.

 

RISK FACTORS

Risk factors affecting the Contract include, but not limited to, execution risks such as availability of skilled manpower and materials and changes in prices of materials. Barakah Group has, throughout the years, established its track record and expertise to undertake such projects. As such, the management of Barakah believes that Barakah Group is able to mitigate the abovementioned risk factors.

 

DIRECTORS AND MAJOR SHAREHOLDERS' INTEREST

None of the Directors and/or major shareholdesrs and/or persons connected with the Directors and/or major shareholders of the Company has any direct or indirect interest in the Contract.

 

This announcement is dated 17 July 2018.





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