KUALA LUMPUR: Offshore marine support services provider Marine & General Bhd
’s outlook for its upstream and downstream divisions remains positive.
In a statement, the company said its marine logistics from the upstream division is looking forward to an active year in line with Petronas’s positive outlook in its drilling and exploration activities, as highlighted in the national oil company’s Activity Outlook for 2023 - 2025.
"The prospects for the upstream division are dependent on an increase in exploration and drilling activities,” it said.
Meanwhile, on the prospects for the downstream division, it said the commercial prospects over the medium term remain positive given the division’s excellent operating standards that will ensure continued commercial competitiveness, as well as the shortage of Malaysian-flagged tankers in the market.
During the financial year ended April 30, 2023, vessel utilisation at the upstream division increased to approximately 73 per cent compared to 66 per cent previously.
However, Marine & General said the downstream division was directly and adversely affected by the Covid-19 pandemic.
"Fortunately, with the pandemic brought under control and subsiding, by the middle of 2021, the economy and correspondingly the transportation sector improved significantly,” it said.
It added that during the financial year under review, the division was able to secure new time-charter contracts and reduce its reliance on voyage-charters, thereby improving fleet utilisation to 76 per cent. - Bernama
