Icon Offshore secures six contracts for provision of vessels

?The proposed project, if materialised, could provide Tan Chong Motor with opportunity to expand its foothold in the automotive industry in Vietnam,? the company said in a filing with Bursa Malaysia last Friday

KUALA LUMPUR: Icon Offshore Bhd's subsidiary has secured a series of contracts for the provision of offshore support vessels (OSV) and a straight supply vessel.

The group's wholly owned unit, Icon Offshore Group Sdn Bhd, received five contracts for the OSVs from three petroleum arrangement contractors for production operations.

The contracts are on a call-out basis for a period of three years with an option to extend for one year plus one year.

"The commencement date of the Vessels shall be the Vessel’s onhire dates, of which, the Vessels were on hire between September 2018 to December 2018 by the PACs. 

"The extension options shall be exercised subject to approval obtained from the PACs respectively," it said.

The group also said Petronas Carigali had awarded the Icon unit a work order for the provision of a straight supply vessel.

The contract, valued at about RM8mil, is for the Tanjung Pinang 2 vessel for a tenure of 180 days with an option to extend for another 180 days.

The contracts are expected to contribute positively to the earnings, order book and net assets of Icon for the financial year ending Dec 31, 2019, said the group

"Notwithstanding this, the Contracts are not expected to have any material effect on the share capital and shareholding structure of ICON."