Barakah Offshore Petroleum Berhad (Barakah) is pleased to announce that its wholly-owned subsidiary company, PBJV Group Sdn Bhd ("PBJV"), has received the Letter of Award from PETRONAS Carigali Sdn Bhd ("PCSB") for the Provision of Underwater Services for oil and gas fields in East Malaysia ("Contract").
The Contract requires the provision of Main and Support Vessel, Air and Saturation Diving, Remotely Operated Vehicle (ROV) and other related underwater services, which includes Inspection, Maintenance, Repair, drilling support and other work to PCSB's underwater facilities as and when necessary. The Contract covers offshore of East Malaysia and other specified worksites of PCSB.
The Contract is based on call out basis. The total value of the Contract will depend on the actual work orders to be issued by PCSB from time to time during the Contract period. The duration is two (2) years, which will be effective from August 2016 to August 2018, with an option for one (1) year extension. The Contract is expected to contribute positively towards the earnings and net assets per share of Barakah Group for the duration of the Contract.
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 Group believes that the Group is able to mitigate the abovementioned risk factors.
None of the Directors and/or major shareholders and/or persons connected with the Directors and/or major shareholders of the Company has any direct or indirect interest in the Contract.
