Malaysia: PETRONAS Carigali Hires Four Work Boats from Alam Maritim

The Board of Directors of Alam Maritim Resources Berhad through its wholly-owned subsidiary, Alam Maritim (M) Sdn Bhd received a Letter of Award (“LOA”) from PETRONAS Carigali Sdn Bhd for the Provision of Four (4) Work Boats to support PETRONAS Carigali, Peninsular Malaysia Operations painting activities.

The Contract requires two (2) AMRB Group’s work boats for a primary period of one (1) year with an extension option exercisable by PETRONAS Carigali for another one (1) year, for each work boat. The Contract value is estimated up to RM121.54 million; if PETRONAS Carigali engages the work boats for the full duration; inclusive of the optional period. The Contract commenced on 25 May 2012.

The Company shall always ensure strict compliance to the safety and operational procedures in the execution of contract requirements. The risks associated with the Contract are mainly operational risks. In mitigating such risks, the Company has developed a programmed maintenance schedule which stringently adheres to the International Safety Management (ISM) Standards in maintaining performance and seaworthiness of all vessels.

The award of the Contract is expected to positively contribute to the earnings and net assets of AMRB for the financial year ending 31 December 2012 and beyond. Notwithstanding this, the Contract is not expected to have any material effects on the share capital and shareholding structure of the Company.

None of the Directors or major shareholders or persons connected to the Directors or major shareholders has any direct or indirect interest in the Contract.

The Board of Directors of AMRB is of the opinion that the acceptance of the Contract is in the best interest of the Company.

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Source: Alam Maritim, May 30, 2012