Announcements


Date : 01 September 2016

OTHERS SAPURAKENCANA PETROLEUM BERHAD - AWARD OF CONTRACTS

SAPURAKENCANA PETROLEUM BERHAD

Type Announcement
Subject OTHERS
Description
SAPURAKENCANA PETROLEUM BERHAD
- AWARD OF CONTRACTS

INTRODUCTION

The Board of Directors of SapuraKencana Petroleum Berhad (“SapuraKencana” or “Company”) (“Board”) is pleased to announce that its wholly-owned subsidiary, SapuraKencana TL Offshore Sdn Bhd (“SKTLO”) has been awarded contracts with a combined value of approximately USD65.3 million (approximately RM264 million, based on USD/MYR exchange rate of USD1: RM4.04).
 
Details of each of these contracts are as summarised below:

ENGINEERING AND CONSTRUCTION 

Award of Provision of Transportation and Installation of Offshore Facilities for BOC-BOD Pipeline Replacement Tie-in Project by Repsol Oil and Gas Malaysia Limited

SKTLO has been awarded a contract by Repsol Oil and Gas Malaysia Limited (formerly known as Talisman Malaysia Limited) for the transportation and installation of offshore facilities for Year 2014-2016 – BOC-BOD Pipeline Replacement Tie-In Project (“Repsol Contract”). 
The scope of work consists of subsea tie-in of spools to be executed at Bunga Orkid Development located at Northern field of PM3 Commercial Arrangement Area, North-East of Peninsular Malaysia, bordering Vietnam and Thailand. The Repsol Contract is for a period of approximately 1 month.

Award of Provision of Demobilisation of Floating Storage and Offloading (FSO) ABU Project by MISC Offshore Floating Terminals (L) Limited

SKTLO has been awarded a contract by MISC Offshore Floating Terminals (L) Limited for the provision for demobilisation of Floating Storage and Offloading (FSO) ABU Project (“MISC Contract”).
The scope of work consists of a base scope for demobilisation and offloading of an FSO which is located approximately 320km offshore of Kertih, Terengganu, Malaysia in the ABU cluster field at Block PM-318 and optional scope for the towing of the FSO and installation of FSO temporary mooring arrangement at the lay-up area. 
The MISC Contract is for a period of approximately 5 months.

Award of Provision of Offshore Installation for LQ Jacket, Piles and Appurtenances (Base Scope) and Module 1 (Optional Scope) for Su Tu Trang Field in Vietnam by PTSC Offshore Services Joint Stock Company

SKTLO has been awarded a contract by PTSC Offshore Services Joint Stock Company for the offshore installation of LQ jacket, piles and appurtenances (base scope) and module 1 (optional scope) (“PTSC Contract”).
The work location is at Su Tu Trang Field within the Vietnamese water. The PTSC Contract is for a period of approximately 3 months.

Award of Provision of Transportation and Installation of Pipeline, Substructure and Topside for F12 Gas Development Project by PETRONAS Carigali Sdn. Bhd.

SKTLO has been awarded a contract by PETRONAS Carigali Sdn. Bhd. for the provision of transportation and installation of pipeline, substructure and topside for F12 Gas Development Project (“PETRONAS Carigali Contract”).
The work will be executed approximately 180km offshore of North West of Bintulu, Sarawak, Malaysia. The PETRONAS Carigali Contract is for a period of approximately 8 months.

Award of Provision of Transportation and Installation of Offshore Faciliites for Guntong Pipelay Project by ExxonMobil Exploration and Production Malaysia Inc.

SKTLO has been awarded a contract by ExxonMobil Exploration and Production Malaysia Inc. (“EMEPMI”) for the provision of transportation and installation of offshore facilities for Guntong Pipelay Project (“EMEPMI Contract”). The scope of work consists of transportation and installation of one new pipeline from Tapis Q to Guntong C.
The EMEPMI Contract will commence after the seasonal monsoon of around March 2017 and is expected to end in May 2017.

FINANCIAL EFFECTS
 
The contracts announced herein will have no effect on the issued and paid-up share capital of the Company and are expected to contribute positively towards the earnings of SapuraKencana Group principally for the financial year ending 31 January 2017 and, for contracts that extend beyond 31 January 2017, the financial period(s) thereafter during their respective contract periods.

RISK FACTORS
    
Risk factors affecting the contracts include execution risks such as availability of skilled manpower and materials, changes in pricing, weather conditions, and/or political, economic and regulatory conditions. Notwithstanding that, the Company has established a successful track record undertaking similar projects.  

DIRECTORS’ AND MAJOR SHAREHOLDERS’ INTERESTS

None of the Directors and/or major shareholders of the Company and/or persons connected with them have any direct or indirect interest in the award of the contracts herein.

DIRECTORS’ STATEMENT

The Board is of the opinion that the acceptance of the contracts herein is in the best interest of the Company.

This announcement is dated 1 September, 2016.






Announcement Info

Company Name SAPURAKENCANA PETROLEUM BERHAD
Stock Name SKPETRO
Date Announced 01 Sep 2016
Category General Announcement for PLC
Reference Number GA1-01092016-00015



Back