Malaysia: IEV Wins Major Supply and Installation Contract

IEV Holdings Limited announced that, on 13 December 2011, its 30% associate, IEV (Malaysia) Sdn. Bhd., has been awarded a major supply and installation contract from an established and major oil and gas operator in South East Asia.

The scope of work of this turnkey project includes the engineering, fabrication, delivery, hook-up and commissioning of a wellhead platform, procurement and installation of a new pipeline and host tie-in to existing offshore production facilities.

The Contract consists of several packages with an estimated combined value of RM262 million. The project is scheduled to commence in December 2011 and expected to be completed by end of 2012. Barring any unforeseen circumstances, the Contract is not expected to have any material impact on the net tangible assets or earnings per share of the Group for the current financial year ending 31 December 2011.

The Group will be executing this project in a strategic alliance partnership with an engineering company from the USA, who is a specialist in the field of platform re-use in the Gulf of Mexico. In addition, the project will be managed by a joint project management team and local subcontractors will be mobilized for the installation, hook-up and commissioning, and host tie-in activities. IEV will be deploying the Group’s engineering capabilities from its Decommissioning Solutions (“DS”) as well as Jacket and Pipeline Installation Solutions (“JPIS”) for the execution of the project in conjunction with its strategic alliance partner.

None of the Directors or controlling shareholders of the Company has any interest, direct or indirect, in the aforementioned award. The Directors are also not aware of any substantial shareholders that have any interest, direct or indirect, in the aforementioned contract.

As the progress of this turnkey project is subject to execution risks associated with the Group’s industry, shareholders are advised to exercise caution when dealing the shares of the company in relation to this announcement. The Company will make further announcements on any significant developments to the Contract as and when appropriate.

ABOUT IEV HOLDINGS LIMITED

Listed on Catalist of the Singapore Exchange on 25 October 2011, IEV offers a range of integrated engineering solutions (“IES”) involving all aspects of a field life cycle, from the installation of new facilities to repair and maintenance of existing assets and the eventual decommissioning of ageing structures. With over 20 years of experience and a network of offices in Malaysia, Indonesia and Vietnam, IEV is well recognised as one of the leading providers of subsea products and services in the Asia Pacific region. IEV is also a provider of mobile natural gas to the industrial sector in Indonesia and Vietnam, a business the Group developed since 2005.

IEV – JACKET & PIPELINE INSTALLATION SOLUTIONS (“JPIS”)

IEV’s JPIS consist of specialised integrated engineering and project management solutions to safely launch and secure jackets to the ocean floor. This ranges from the supply and installation of diaphragm closures and grout seals to highly engineered packers and pile grippers, and the provision of pile drilling and structural pile grouting systems designed to withstand vigorous lateral ocean loadings in deep water installations. To date, IEV has completed 19 projects, covering 30 structures, since the inception of IEV’s grouting services in its JPIS business division in 2007.

IEV – DECOMMISSIONING SOLUTIONS (“DS”)

IEV’s DS offers a range of Turnkey Decommissioning solutions for engineering, preparation, removal and disposal of offshore jackets, pipelines and conductors. IEV is one of the first contractors in Asia Pacific region to be involved in this market segment and have participated in the removal of 15 offshore platforms (consisting jackets, pipelines and conductors) since 1997. IEV was awarded the first turnkey decommissioning project offshore Sabah, Malaysia in 2011 to complete engineering, preparation, removal and disposal of an oil and gas platform.

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Subsea World News Staff , December 19, 2011;  Image: IEV