Boustead annnounced on Monday aside from Petronas Carigali, the other parties which it had reached the settlements were the joint operators -- ExxonMobil Exploration and Production Malaysia Inc (ExxonMobil), EnQuest Petroleum Production Malaysia Ltd, as well as Sapura Exploration and Production (PM) Inc.
“This follows the commencement of arbitration proceedings by the group’s subsidiary, MHS Aviation Berhad (MHS) against Petronas Carigali and the subsequent early termination of MHS’ contract to provide five EC225 helicopters for the joint operators’ use.
“In view of this mutual decision by all parties involved, MHS will withdraw its arbitration proceedings against Petronas Carigali, upon full payment of the settlement,” it said.
Boustead Holdings deputy chairman/group managing director Tan Sri Lodin Wok Kamaruddin said: “We are glad that this matter has come to a satisfactory conclusion. The constructive negotiations with Petronas and others have resulted in a fair settlement for MHS.”
Lodin pointed out that since these negotiations have been satisfactorily resolved: “Our focus will now turn towards leveraging new opportunities, both within and beyond the oil and gas sector”.
He said MHS remained one of Malaysia’s helicopter charter services providers with an excellent track record in safety standards.
“We are confident that this places us in a strong position for new growth,” he added.