Petra Energy starts topside maintenance ops for Petronas
- Business & Finance
Malaysia’s Petra Energy has started the topside major maintenance services (TMM) contract for Petronas’ Sabah operation earlier than planned.
The contract was first awarded on 21 May 2013 for five years effective from 21 May 2013 and will expire on 20 May 2018. The TMM Services was originally scheduled to start in February 2016. However, both parties have now agreed for an early activation of the TMM Services effective from 4th July 2014 until 20 May 2018.
There is no firm contract value for the TMM Services as the contract is on a ‘call-out’ basis whereby work orders will be issued at the discretion of the client based on the schedule of rates as set forth in the contract.
Petra Energy has explained that the early activation of the TMM Services also is not expected to have any material effect on the net assets and gearing of Petra Energy, but is anticipated to contribute positively to the earnings for the financial year ending 31 December 2014.