OTHERS HANDAL RESOURCES BERHAD - AWARD OF CONTRACT

HANDAL RESOURCES BERHAD

Type Announcement
Subject OTHERS
Description
HANDAL RESOURCES BERHAD 
- AWARD OF CONTRACT

1. INTRODUCTION

 

The Board of Directors of Handal Resources Berhad (“Handal” of the “Company”) wishes to announce that its unincorporated joint venture, known as Borneo Seaoffshore - Handal JV (“Joint Venture”), has received a Letter of Award from Petronas Carigali Sdn Bhd for the Provision of Water Injection Module (WIM) Supply on Mobile Offshore Unit for Mobile Water Injection Facilities – Package 4 (“Contract”).

 

 

2. DETAILS ON THE CONTRACT

 

The Contract entails the provision of Water Injection Module (WIM) Supply on Mobile Offshore Unit for Mobile Water Injection Facilities. The duration of the Contract is for a period of seven (7) years, commencing from March 2020, with an extension option of a further three (3) years.

 

The Joint Venture was established to collaborate and submit the technical and commercial proposal to bid for and execute the Contract. Handal Engineering Sdn Bhd, a wholly-owned subsidiary of Handal, and Borneo Seaoffshore Engineering Sdn Bhd have agreed on the scope and responsibility of each party under the Joint Venture and shall be jointly responsible for discharging all obligations under the Contract. The Joint Venture will remain valid throughout the period of the Contract.

 

 

3. FINANCIAL EFFECTS

 

The Contract will not have any effect on the share capital and shareholding structure of the Company. 

 

The Contract is not expected to have any material effect on the net assets of Handal and its subsidiaries (“Group”) for the financial period ending (“FPE”) 30 June 2019. The Contract is expected to contribute positively to the earnings of the Group for the FPE 30 June 2019 and subsequently until the expiry of the Contract.

 

 

4. RISKS IN RELATION TO THE CONTRACT

 

The Group foresees, amongst others, the risk factors affecting the Contract includes the usual operational and execution risks, which the Company and the Joint Venture will take appropriate measures to minimise these risks. 

 

 

5. DIRECTORS’ AND MAJOR SHAREHOLDERS’ INTERESTS

 

None of the Directors and/or major shareholders and/or persons connected with the Directors and/or major shareholders of Handal has any direct or indirect interest in the Contract.

 

 

6. STATEMENT BY DIRECTORS

 

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

 

 

This announcement is dated 24 June 2019.






Announcement Info

Company Name HANDAL RESOURCES BERHAD
Stock Name HANDAL
Date Announced 24 Jun 2019
Category General Announcement for PLC
Reference Number GA1-24062019-00029