KUALA LUMPUR: Petra Energy Bhd
has emerged as one of the companies that have secured a maintenance, construction and modification (MCM) service contract from Petronas Carigali, with its work package focusing on offshore Sabah.
It joins other listed firms that have won MCM contracts earlier this year, which include Dayang Enterprise Holdings Bhd
(offshore - Sarawak oil), Carimin Petroleum Bhd
(offshore - Peninsular Malaysia oil) and Deleum Bhd
(offshore - Peninsular Malaysia gas).
Petra Energy told Bursa Malaysia on Tuesday that its unit Petra Resources Sdn Bhd received the letter of award dated Sept 20.
It said the contract would be for a primary period of five years effective from Sept 20, 2017, and would expire on Sept 19, 2022, with an option to extend for another year.
There is no firm contract value stated in the letter of award as the contract is on a “call-out” basis based on the work orders issued by Petronas Carigali.
According to the oil and gas service provider, the work orders will include any or all other work and services generally related to the scope of works in this contract at a fixed schedule of rates.
“Petra Resources will provide contract management, project execution, procurement and marine spread to undertake maintenance activities for Petronas Carigali’s facilities at offshore Sabah,” it said.
Affin Hwang Investment Bank Bhd had said in July that Petra Energy was a strong contender for the MCM contract from Petronas Carigali, reaffirming its buy call with a target price of RM1.55 per share.
The counter closed at 98 sen on Tuesday, down 2 sen.