Bursa Announcements
Date : 12 April 2019

OTHERS SAPURA ENERGY BERHAD AWARD OF CONTRACTS

SAPURA ENERGY BERHAD

Type Announcement
Subject OTHERS
Description
SAPURA ENERGY BERHAD 
AWARD OF CONTRACTS

Sapura Energy Berhad ("Sapura Energy" or the “Company") (“Board”) is pleased to announce that its wholly-owned subsidiaries have been awarded contracts/contracts extension with a combined value of approximately RM1.279 billion.

Details of each of these contracts/contracts extension/subcontract (collectively referred to as “Contracts”) are as summarised below:

Drilling:

Malaysia

1. Provision of Semi Tender Assisted Drilling Rig “Sapura Berani” for PETRONAS Carigali Sdn Bhd

Sapura Drilling Asia Sdn Bhd has been awarded a Letter of Contract Amendment and Extension by PETRONAS Carigali Sdn Bhd for the Provision of Semi Tender Assisted Drilling Rig “Sapura Berani".

The contract entails the drilling of nine wells at Sumandak, Erb West and Dulang facilities, offshore Sabah and Offshore Peninsular Malaysia. The work related to the nine wells is expected to be completed by Q4 2019.

2. Tender Assist Drilling Rig “Sapura T-9” by Exxonmobil Exploration and Production Malaysia Inc.

Sapura Drilling Asia Sdn Bhd has been awarded a contract by ExxonMobil Exploration and Production Malaysia Inc. for the provision of its Tender Assist Drilling Rig “Sapura T-9” services.

The scope of the contract comprises the provision of barge tender assisted drilling rig services for a period of three (3) years commencing in the early Q3 FY2020 at Tabu field, offshore Peninsular Malaysia.

Engineering & Construction

Gulf of Suez

Provision of Installation of Six Subsea Pipelines at Gulf of Suez

 

Sapura Offshore Sdn Bhd has been awarded with a subcontract by the main contractor, Pan Marine Petroleum Services Company for the provision of installation of six subsea pipelines at Gulf of Suez for the Gulf of Suez Petroleum Company, a joint venture between BP plc and The Egyptian General Petroleum Company.

The subcontract scope of work comprises of installing six new subsea pipelines in the Gulf of Suez in various locations in the Morgan field with an expected total pipelay of approximately 57 km. The duration of the subcontract works is for 10 months and expected to be completed by Q2 FY2020.

Indonesia

Provision of Engineering, Procurement, Construction and Installation (EPCI) of Pipeline, ILT, PLETs & Pre-commissioning activities from ENI East Sepinggan Limited

Sapura Offshore Sdn Bhd jointly in a joint venture with PT Timas Suplindo (“Joint Venture” or the “JV”) has been awarded with a contract for EPCI - 4 Provision and Installation of Pipeline, ILT, PLETs & Pre-commissioning activities from ENI East Sepinggan Limited. 

The contract scope of work comprises of EPCI of two (2) 16” diameter offshore rigid pipelines from the current Jangkrik facility to a future manifold near Merakes drilling centers in a water depth between 70m to 1400 metres. The total length of the pipeline system is approximately 95km and the scope of work includes design, fabrication and offshore installation of foreseen structures; two (2) deep water Pipeline End Terminations (PLETs) and one (1) In-line Tee (ILT). The works are expected to be completed by FY2020.

Australia

Awarded Key Roles by Phoenix International Australia Pty Ltd in Submarine Rescue Service Contract for The Royal Australian Navy

Total Marine Technology Pty Ltd (“TMT”) has been awarded key roles by Phoenix International (Australia) in the Submarine Rescue Service contract for The Royal Australian Navy.

TMT has been selected to design and fabricate a Remotely Operated Vehicle (“ROV”) including to design and supply the external propulsion and non-life support related electrical and control systems as well as the Submarine Rescue Bell for the contract.

The rescue system will be accepted into operational service in 2022 and will be just one of four air transportable systems in the world. The primary mission of the system is to deliver rescue capability to The Royal Australian Navy’s submarine fleet. The system will also be capable of supporting other submarine operating nations by means of the North Atlantic Treaty Organization (“NATO”) standard escape hatch.

FINANCIAL EFFECTS

The Contracts announced herein will have no effect on the issued capital of the Company and are expected to contribute positively towards the earnings of Sapura Energy Group (“the Group”) for the financial year ending 31 January 2020 and the financial periods thereafter within the Contracts period.

RISK FACTORS

Risk factors affecting the Contracts include execution risks such as availability of skilled manpower and materials, changes in pricing, onshore permits to be obtained, weather conditions and/or political, economic and regulatory conditions. Notwithstanding, the Group 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 and extension 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.

 

The announcement is dated 12 April 2019. 




Please refer attachment below.



Announcement Info

Company Name SAPURA ENERGY BERHAD
Stock Name SAPNRG
Date Announced 12 Apr 2019
Category General Announcement for PLC
Reference Number GA1-12042019-00043


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