OTHERS MARINE & GENERAL BERHAD (FORMERLY KNOWN AS SILK HOLDINGS BERHAD) - AWARD OF CONTRACTS FOR THE PROVISION OF TWO (2) UNITS OF STRAIGHT SUPPLY VESSELS WITH ACCOMMODATION

MARINE & GENERAL BERHAD

Type Announcement
Subject OTHERS
Description
MARINE & GENERAL BERHAD (FORMERLY KNOWN AS SILK HOLDINGS BERHAD)
- AWARD OF CONTRACTS FOR THE PROVISION OF TWO (2) UNITS OF STRAIGHT SUPPLY VESSELS WITH ACCOMMODATION

INTRODUCTION

Marine & General Berhad (formerly known as SILK Holdings Berhad) (“M&G”) is pleased to announce that its subsidiary, Jasa Merin (Malaysia) Sdn Bhd (“JMM”), has been awarded two (2) contracts by ExxonMobil Exploration and Production Malaysia Inc (“EMEPMI”), for the provision of two (2) Straight Supply Vessels with accommodation (“SSV”) to support EMEPMI's operations.

 

DURATION OF CONTRACT

The contracts, commencing in early and end March 2018 respectively, are for a primary duration of four (4) months with an option for EMEPMI to extend for an additional six (6) months.

 

RISK FACTORS

Risk factors affecting the contracts are mainly operational risks such as accidents and unexpected breakdown of vessel. Notwithstanding this, JMM shall ensure strict compliance with the safety and operational procedures in the execution of contract requirements and has developed a programmed maintenance schedule which stringently adheres to the International Safety Management (ISM) Standards in maintaining performance and seaworthiness of all its vessels.

 

FINANCIAL EFFECTS

The contracts, estimated to have a value of approximately RM 7.3 million for the primary term, is expected to contribute positively to the earnings of the Group for the financial period ending 31 December 2018. The contracts are not expected to have any effect on the share capital and shareholding structure of M&G. There are no significant risks involved in JMM fulfilling its obligations under the contracts.

 

DIRECTORS’ AND MAJOR SHAREHOLDERS’ INTERESTS

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 awarded.

 

DIRECTORS’ STATEMENT

The Board of M&G is of the opinion the awarding of the contract to JMM is in the best interest of the Group.

 

This announcement is dated 12 March 2018.






Announcement Info

Company Name MARINE & GENERAL BERHAD
Stock Name M&G
Date Announced 12 Mar 2018
Category General Announcement for PLC
Reference Number GA1-12032018-00047