Multi millions profitable Sibu Shipyards steal electricity

Three shipyards in Sibu found stealing electricity

Borneo Post  May 8, 2012, Tuesday

TELL-TALE SIGN: The meter compartment’s security seal.

KUCHING: Three shipyards in Sibu were caught tampering with their electricity meters by Sarawak Electricity Supply Corporation (Sesco) last month.

“All the three shipyards which were found to have tampered their meters are located at Jalan Rantau Panjang in Sibu,” said Sesco in a statement issued here yesterday.

It added that the meters installed by Sesco at these shipyards were equipped with tamper-detection features. It has the capability to detect and record any meter irregularities.

The statement said that Sesco would continue to purchase more advanced meters in their fight against electricity theft through meter tampering.

According to Sesco, in order to meddle with the meter wiring to steal electricity, the thieves have to cut off the security seals of the meter or seals at the cable compartment of the main switch board.

Any signs of security seals being cut, damaged or modified can be easily identified by Sesco’s meter inspection team.

In one of the meter-tampering cases discovered, the meter was found to have no security seals.

And in a case in Miri, a hardware factory was caught for forcing open one phase of the measurement circuit to prevent electricity consumption being registered by the meter. The security seals of the meter were also found to be cut.

Power theft losses in Sibu are still the highest in the state although the percentage of losses has shown great improvement since 2011.

THE TACTIC: The opened phase of the measurement circuit.

“In monetary terms, we lost about RM50 million through power theft annually in Sibu. This is about 50 per cent of the total amount recorded in the state.”

Miri is second on the list with RM24 million.

Sesco said it would continue to mount public awareness campaigns to educate the public that stealing electricity is an offence and that it could cause property loss and electrocution.

Theft of electricity is an offence under Section 33(5) of the Electricity Ordinance and is punishable with a fine of up to RM100,000 or imprisonment of five years or both.

Members of the public can alert Sesco about electricity theft by calling 082-443535 or write to: The Controller, Revenue Management Control Centre, Wisma Sesco, Jalan Bako, Petrajaya, 93673 Kuching, Sarawak.

Naim to get more land in Miri for Hospital business

KPJ, Naim Land ink hospital pact

Published: 2012/04/19

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Kumpulan Perubatan (Johor) Sdn Bhd has signed a joint-venture agreement with Naim Land Sdn Bhd to own a purpose-built
hospital and later operate the hospital at Kuala Baram district in Miri.

Under the joint venture, Kumpulan Perubatan Johor, a wholly-owned subsidiary of KPJ Healthcare Bhd, will design, develop, build, complete and run the hospital.

Parent company, KPJ Healthcare, said Kumpulan Perubatan Johor, would operate through a joint-venture company, in which the latter would hold 70 per cent equity interest while Naim Land the remaining 30 per cent.

The joint venture was in line with the KPJ Healthcare and its subsidiaries' objectives to increase their hospital network to locations where private healthcare was in demand.

At the same time, it would leverage on KPJ's and Naim Land's capabilities to operate a private hospital and to lower KPJ's initial start-up costs, it said.

The joint-venture is expected to be fulfilled and completed by the first half of this year, said KPJ Healthcare in a statement today. -- Bernama

Rajang River Shipping Magnate Lau Nai Hoh switches production to China

TAS turns to China shipyardS

By JACK WONG
jackwong@thestar.com.my

KUCHING: TAS Offshore Bhd has turned to established shipyards in China to build new vessels as its shipyard in Sibu could not cope with the many orders coming in.

Group managing director Datuk Lau Nai Hoh said the Sibu shipyard was now operating at full capacity, with more than 10 vessels of different types under construction.

He said one anchor-handling tug supply (AHTS) vessel was now being built in a shipyard in China, adding that the company was in the process of contracting out the construction of two more similar vessels to builders in that country.

“The three vessels would cost about US$38mil. One of the vessels is for a regular client from the Middle East for use in deepsea operation while the other two will be for sale,” he told StarBizWeek.

Each vessel will take between 18 and 20 months to build.

Lau said TAS would continue to outsource the construction of bigger vessels to shipyards in China as that country could build vessels at competitive rates, had proven quality workmanship and could deliver the vessels on time.

He said the cost of the AHTS vessel now under construction in China shipyard was about 3% lower than if built locally.

Lau said TAS had secured orders for five tugboats worth RM22.7mil last month and another one worth RM2.5mil this month from clients in Indonesia.

Demand for tugboats in Indonesia is spurred by the growth of mining activities.

Lau said the company had secured contracts worth a total of RM84.5mil for financial year ending May 31, 2012.

Its clients are mainly from the Middle East, Indonesia and Singapore.

He said the company was finalising a deal with a regular Middle East client to build two AHTS vessels for about US$32.5mil.

If the deal is sealed, one of the vessels will be constructed locally and the other in China.

“We are also negotiating with a local client to build another harbour tug. The client's previous order of a harbour tug will be delivered in the next few weeks,” he added.

Lau said due to inavailability of space, the company's Sibu shipyard could not be expanded to enable more vessels to be built at any one time.

The company may build another shipyard in other designated shipbuilding zones in Sarawak.

He said the Sibu shipyard had been upgraded and was expected to take delivery of one gantry crane soon to speed up work processes.

Indonesia wants Singapore Government double standards to stop

Indonesia’s central bank said it wants equal treatment for Indonesian banks to operate in Singapore as a condition for the approval of DBS Bank’s bid for Bank Danamon Indonesia.

Bank Indonesia deputy governor Halim Alamsyah said in Jakarta on Wednesday that it will seek talks on reciprocity with Singapore.

The Monetary Authority of Singapore (MAS) declined to confirm if these talks have started, stating on Wednesday: ‘Our dealings with other regulators are confidential.’
Background story

DBS chief executive Piyush Gupta said he remains “fairly confident” about getting the nod from Indonesian regulators in the next six months.

He added that rejecting the DBS deal could be a big blow to investor sentiment in Indonesia.

DBS said in a statement on Wednesday that it will work closely with Indonesian regulators to ensure the process runs smoothly and meets all regulatory requirements.

“Given the way the Indonesian laws are structured, the bank is fairly confident and hopeful that it will receive approval within the second half of the year,” the statement said.

However, the bank is also “mindful of possible headwinds including the issue of reciprocity.”

The MAS noted on Wednesday that there are four Indonesian banks with a presence in Singapore.

Of these four, only Bank Negara Indonesia has a full banking licence. This allows it to offer a wide range of services for retail and corporate clients.

But foreign banks with full banking licences are restricted in how extensive their branch and ATM networks can be.

Of the three other banks, Bank Mandiri operates as an offshore bank while Bank Central Asia and Panin Bank both have only one representative office here.

The MAS spokesman added that ‘all foreign banks are free to expand their activities in Singapore subject to the guidelines specific to the licence under which they operate’.

On April 2, DBS offered to buy Jakarta-based Bank Danamon for up to $9.1 billion, in the biggest takeover by a lender in South-east Asia. DBS will buy a 67 per cent stake in Danamon from a unit owned by its own substantial shareholder, Temasek Holdings.

It will pay $6.2 billion in shares for this stake and make a general cash offer for the rest of the Danamon shares, paying 7,000 rupiah a share, or $2.9 billion. The deal values Danamon at $9.1 billion in total.

Under Indonesian law, DBS will have to sell shares of Bank Danamon Indonesia back to the public if it owns more than 80 per cent of the lender after a takeover.

DBS Bank filed a notice with the Singapore Exchange last week stating that it will have to ensure it holds no more than 80 per cent of Danamon shares within two years of the acquisition unless it gets a waiver or extension from the Indonesian authorities.

Danamon has a network of 3,000 branches and a customer base of six million, and is Indonesia’s sixth-largest bank by assets. This will allow DBS to tap Indonesia’s fast-growing economy.

The Indonesian economy grew 6.46 per cent last year, and is forecasted to grow 6.5 per cent this year.

DBS shares lost seven cents to close at $13.19 on Wednesday.

Danamon shares remained unchanged at 6,300 rupiah.


Jakartaglobe.

Concerns over call for reciprocity thestart.com.my

PETALING JAYA: Bank Indonesia's statement on reciprocity has brought back concerns that had earlier also been an issue of contention among Indonesian banks with regards to their ability to operate and grow in Malaysia.

The Indonesia central bank reportedly said on Tuesday that it wanted “equal treatment” for Indonesia banks to operate in Singapore and would discuss with the city-state on reciprocity as a criterion for its approval on Singapore's DBS group to buy the country's sixth-largest bank, PT Bank Danamon Indonesia.

At the moment, there are certain restrictions on foreign banks operating in Singapore such as a limit on the number of automated teller machines and locations the banks are allowed to operate there, according to analysts covering the sector in the city-state.

The Indonesian banking scene is more liberalised with less limitations in comparison after it opened up its banking sector post Asian financial crisis as a way to encourage foreign investments and mend its then broken economy.

Requirement: Bank Indonesia says it wants ‘equal treatment’ as a criterion for its approval on DBS’ bid to buy Bank Danamon. – Reuters

Cheah King Yoong, a banking analyst at Alliance Research, said the Indonesian market was one of the “must-have markets” for local banks which wanted to continue to grow given the level of maturity present in the industry here.

Petronas bekukan syarikat-syarikat Sarawak dan Sabah dari kontrak?

License freeze, Sabah O&G contractors in the cold

freemalaysiatoday.com| November 4, 2011

It's ironic that Petronas' RM45 billion O&G project in Sabah may not have local contractors' participation.

KOTA KINABALU: National oil company, Petronas’ decision to put a freeze on upstream oil and gas industry license renewals and registrations will basically block Sabah O&G contractors from competing for its RM45 billion mega project contracts.
Integral to Petronas’ RM45 billion plan is the Sabah-Sarawak Integrated Oil and Gas Project which encompasses upstream development of offshore O& G fields and downstream development of Sabah Oil and Gas Terminal and the Sabah-Sarawak Gas Pipeline.
Petronas’s announcement was received with mixed feelings in Sabah and excitement simmered among local contractors who saw it as a sound business opportunity.
But any prevailing enthusiasm over the RM45 billion project hit a wall recently when Petronas informed contractors that there was a freeze of license renewals.
According to Malay Chambers of Commerce Sabah president Awang Buhtaman Awang Mahmun, Petronas had last month sent out letters to contractors saying they were suspending the renewals of licenses and registration of applications.
He said the reason given in the letter was that Petronas was upgrading its database.
A disappointed Awang Buhtaman said there had been a lot of interest among local contractors ever since Petronas announced the mega project.
“We have seen a lot of interest and our contractors are willing to bid for contracts and be part of the project.
“But now with the suspension on license renewals, it makes it impossible for us to participate in the project.
“An active license is important if you want to participate … we are expecting a lot of invitations to bid in January but with the renewal of licenses suspended, it will not be possible for us to take part,” he said.
Petronas too stringent
Petronas is replacing its existing eLARIS.net system with a new license and registration application system. The new system will take effect in January.
In preparation for the smooth implementation of the new system, Petronas had frozen all applications for new licenses and registrations beginning Oct 1 until the end of the year.
Awang Buhtaman said that although they received Petronas’ letter there has been no briefing yet on the new system
He also raised contractors’ concerns over the lack of vendor development programme (VDP) in Sabah.
He said Petronas, strangely enough, did not have a physical registration and renewal counter Sabah and contractors wishing to register or renew had to fly to Kuala Lumpur to do it.
“Petronas is very stringent. If a document is missing we are required to reproduce the whole set instead of just the document.
“Currently we have to do the documentation manually and fly to Kuala Lumpur to renew our licenses. The process takes a long time and is a lot of hassle,” he said.
While he urged Petronas to lift the freeze on renewals, he also added that it was time Petronas introduced an instrument to enhance the participation and capacity of local Sabahans to start off with the VDP in Sabah.

Gas discovery to boost Sarawak’s O&G scene

by Ronnie Teo, ronnieteo@theborneopost.com. Posted on February 15, 2012, Wednesday

NATURAL RESERVES: Image of one of Petronas’ platforms off the coast of Malaysia. The new discoveries amount to an estimated recoverable reserve of almost four trillion cubic feet, almost four per cent of Malaysia’s current natural gas reserves of 14.8 million barrels of oil equivalent. – AFP photo

KUCHING: Petroliam Nasional Bhd’s (Petronas) two new gas discoveries offshore Sarawak will continue to fuel the excitement for oil and gas investments in and around the state.
According to an analyst from AmResearch Sdn Bhd (AmResearch), while these new gas finds would need another three to five years of analysis and interpretation of seismic data before progressing to the initial development phase, this would certainly provide excitement to the industry here.
“Sarawak is a major state gas producer and exporter, with the country’s only liquefied natural gas plant located in Bintulu,” the analyst highlighted.
“Over the next twelve months, we expect Shell’s massive oil recovery projects in the Baram Delta off Sarawak to gain prominence. This involves the Bokor, Bakau, Baram, Baronia, Betty, Fairley Baram, Siwa, Tukau and West Lutong oilfields.”
To recap, Petronas on Monday announced two gas discoveries in the Kasawari and NC8SW fields in Block SK316 offshore Sarawak using exploration wells Kasawari-1 and NC8SW-1.
These were the latest wells drilled in Block SK316 which was part of Patronas’ strategy to intensify domestic exploration and prolong its reserves.
These discoveries amounted to an estimated recoverable reserve of almost four trillion cubic feet, almost four per cent of Malaysia’s current natural gas reserves of 14.8 million barrels of oil equivalent.
Oil and gas analyst from OSK Research Sdn Bhd Jason Yap believed this was good overall for the oil and gas industry in Malaysia.
“Generally, this will leave a positive impact for the industry, especially for local service providers,” he outlined in a telephone interview.
“They currently have a utilisation rate between 50 to 60 per cent. With this move, it could be boosted to more than 70 per cent.
“So for calendar year 2013, this will definitely be the year for oil and gas,” he enthused.
In the nearer horizon, AmResearch’s oil and gas analyst anticipated more fresh news from Petronas, particularly on its RM15 billion fast-tracked programme to develop gas reserves from a cluster of fields in the North Malay basin off Peninsular Malaysia.
“This project is expected to commence production towards the end of 2013,” he highlighted.
“Initial beneficiaries for the North Malays basin development will be fabricators such as MMHE, Kencana Petroleum Bhd, SapuraCrest Petroleum Bhd and Dialog Group Bhd,” he added.
“Also, UMW Oil & Gas Corporation Sdn Bhd, which provides oil country tubular goods and pipelines and rig services, as well as Wah Seong Corp Bhd which provides gas compression modules and pipe-coating services, could likewise benefit from this.”

Petronas and Total study potential of K5

Borneo Post March 29, 2012, Thursday

KUCHING: Petronas signed a Heads of Agreement (HOA) with Total of France to jointly study the development and production potential of K5, a high carbon dioxide gas field offshore Sarawak. Discovered in 1970, the gas field K5 has 70 per cent carbon dioxide content and it is located approximately 230 kilometres from Bintulu in water depth of 80 metres.
Petronas said in a press statement yesterday that K5 would be the first gas field with more than 50 per cent carbon dioxide content to be developed in Malaysia.
Under the HOA, Petronas’ newly established upstream research unit Exploration and Production Technology Centre and Total would explore the possibility of developing the field in ways that were technically, commercially and environmentally viable. The HOA was signed at the Kuala Lumpure Convention Centre where Petronas was represented by Petroleum Management vice president Ramlan Abdul Malek and Total was represented by Total E&P Malaysia general manager Vincent Dutel.
The scope of the study would also include the development of carbon dioxide management technologies in the area of carbon capture, transportation and sequestration.
The study was set to commence immediately and would take 15 months to complete.

Sarawak’s total trade volume grows to RM92 bln in 2012

Borneo Post March 3, 2012, Saturday

SIBU: Malaysia’s total trade posted RM1.27 trillion last year, representing an increase of 8.7 per cent over the previous year, said Deputy Minister of International Trade and Industry Datuk Jacob Dungau Sagan.
“This is the highest trade figure we have ever achieved, and it is also our 14th consecutive year of trade surpluses,” Sagan said when officiating at the Malaysia External Trade Development Corporation’s (Matrade) programme with entrepreneurs and exporters at a leading hotel here yesterday.
He added, “The trade with Myanmar rose 115 per cent, Indonesia (23 per cent) and Cambodia (20 per cent) giving an indication perhaps, of where business potential might lie.”
“We also saw increase in our trade with Australia, Japan, the Peoples Republic of China and the Republic of Korea. The Peoples’ Republic of China is currently our largest market, making up a total of RM91 billion or 13 per cent of our exports.
“Singapore comes in second with RM88 billion and Japan is in third place with RM80 billion,” Sagan said in his text of speech read out by deputy chief executive officer (CEO) of Matrade Datuk Zakaria Kamarudin yesterday.
He, however, noted exports to America declined by 2.8 per cent, reflecting the sluggish state of its economy.
Trade with Asean neighbours represented 24 per cent of the country’s export, he noted, adding that declines were registered with Singapore, Thailand, Vietnam, the Philippines and Laos.
On the local front, the deputy minister observed Sarawak’s own trade volume grew by 24 per cent last year to post RM92 billion, representing some seven per cent of Malaysia’s total trade globally.
He disclosed, “Exports totalled RM80 billion and imports RM12 billion. Sarawak’s major exports were mineral liquefied natural gas (LNG) (51.3 per cent), crude petroleum (22.6 per cent), and palm oil (8.5 per cent).
“And its major markets were Japan, Taiwan, Korea and China. Investments in approved projects in the state last year were valued at RM8,453 million. Sarawak ranked third, after Penang and Selangor, in this category.”
According to Sagan, it was envisaged that these 43 manufacturing projects (29 new and 14 expansion projects), would create about 4,900 jobs in Samalaju, Tanjong Manis, Sejingkat, Pending, Muara Tabuan, Sibu, Kuching, Kemena and Bintulu.
He pointed out that most of the approved manufacturing projects were basic metal products, chemicals and chemical products, fabricated metal products, transport equipment and wood and wood products.
On a related matter, to increase exports, Malaysian companies, he stressed, needed to be more aggressive in export promotion.
To this, he assured, “Matrade will continue to assist you through its network of 43 offices around the world as well as through its various promotional programmes.”
Among the programmes, Inward Buying Mission (IBM) allocation helped companies, especially SMEs, to reduce the cost of travelling overseas to meet buyers.
As such, those yet to register with them were urged to do so, enabling them (registered companies) to have direct access to the latest market information, trade leads, and trade programmes and activities where they would be kept posted.
“This year, Matrade will be undertaking 121 trade promotion activities. These include participation in International Trade Fairs, specialized marketing missions, trade and investment missions as well as incoming buying missions.”
As such, he urged the private sector, especially the SMEs to participate actively.

Rio Tinto, CMS scrap US$2b smelter project in Sarawak

Posted on 27 March 2012 - 08:29pm
Last updated on 28 March 2012 - 05:11pm

KUALA LUMPUR (March 27, 2012): Rio Tinto, the world's third largest miner, and Cahya Mata Sarawak Bhd (CMS) have scrapped plans for a US$2 billion aluminium smelter project in Malaysia's Borneo island state of Sarawak as power supply terms could not be finalised, CMS said in on Tuesday.
CMS, a financial and construction conglomerate based in Sarawak, said both companies had worked to set up an aluminium smelter for years but could not agree on the commercial power supply terms with Sarawak Energy Bhd.
"As a result, Rio Tinto Aluminium (Malaysia) and CMS have agreed that they would cease to pursue plans to jointly develop an aluminium smelter at Samalaju in Sarawak but remain open to other future possible collaborations," CMS group managing director Richard Curtis said in a statement.
The aluminium smelter was supposed to have an annual capacity of 1.5 million tonnes to meet surging demand from China and other developing economies.
But the project, which was first announced in 2007, had not gone beyond the planning stage due to delays in constructing Bakun dam -- one of the world's largest hydroelectric dams -- that would provide cheap power to energy-guzzling smelter.
Malaysia's government last year set a lower rate on the power generated from the Bakun dam in Sarawak, selling it to Sarawak Energy at 6.25 sen per kilowatt hour (KwH) with an expected increase of 1.5% every year.
The new rate is within Sarawak's offer to buy electricity at 5 sen and 7 sen per KwH in order to secure investments from smelters for whom energy accounts for a third of costs. – Reuters

Rumor has it that the broker for deal was asking too much from Rio Tinto as a bribe to get Sarawak Energy Berhad to sell electricity to Rio Tinto at a loss to the government-owned Sarawak Energy Bhd.

Shin Yang becomes monopolistic behemoth with vessels buy from small rival Swee Joo Bhd

Syscorp builds on fleet, buys vessels worth RM100mil

By Jack Wong
jackwong@thestar.com.my

KUCHING: Shin Yang Shipping Corp Bhd (Syscorp) has acquired more than 20 vessels, mostly container ships and chemical tankers, from financially-troubled Swee Joo Bhd.
Swee Joo, one of Sarawak's oldest and most established shipping firms, is under voluntary liquidation due to insolvency.
Sharehoplders voted to wind up Swee Joo five months ago after the group failed to resolve total borrowings of some RM460mil.

Ting: ‘We are now doing maintenance and upgrading works for most of the acquired vessels.’

Syscorp chief executive officer Capt Ting Hien Liong said Swee Joo's vessels were bought for more than RM100mil with bank borrowings.
The fleet include four chemical tankers, which were previously used to transport crude palm oil and products.
“We are now doing maintenance and upgrading works for most of the acquired vessels. It will take between six and eight months to complete.
“Some of the vessels' engines have broken down and we have to replace them,” Capt Ting told StarBiz yesterday.
He expects the maintenance and upgrading works to cost around RM50mil.
Syscorp has put three other acquired (Swee Joo) vessels into service.
With the acquisition, Capt Ting said Syscorp now owned and operated a fleet of more than 300 vessels, most of them cargo ships.
Syscorp's shipping operations cover both Malaysian and international waters, from South-East Asia region to East-Asia region and Far-East region to Gulf region in the Middle East countries.
Last year, Syscorp embarked on a RM266mil fleet expansion programme that involves the construction 11 vessels of different types. They comprise two cargo vessels, five units of 37m anchor-handling tugs, two 23.8m tugboats and two pneumetic cement ships.
The expansion is due for completion by end-2012.
Besides shipping, Syscorp, whose parent company is the diversified Shin Yang group, is into shipbuilding and repair business. It has two shipyards in Kuala Baram, Miri and in Bintulu, which can build vessels up to 15,000 deadweight tonnes.
The group owns and operates a third shipyard in United Arab Emirates (UAE).
Miri-based Shin Yang group, headed by Tan Sri Ling Chiong Ho, is involved in a vast logging and downstream timber processing business and is Sarawak's largest plywood manufacturer. The group controls Sarawak Oil Palms Bhd and is into property development, construction, quarrying and trading businesses.
Capt Ting said the new UAE shipyard was doing maintenance works for mostly Syscorp's fleet of vessels.
When asked about the shipping industry's outlook, he said with the exception of oil and gas industry, shipping rates, especially cargo transportation, were still poor.
He said over-capacity was still a problem as many new ships under previous orders had come into the market.
Capt Ting said the shipbuilding industry was also facing tough times.

Ling Brothers and Hasmi Hasnan-owned Dayang Enterprises records biggest profit ever

Dayang records highest profit of RM83.9 million in 2011

Borneo Post February 29, 2012, Wednesday

READY FOR GROWTH: Dayang is hopeful about the upcoming tenders of major hook-up and commissioning contracts from PCSB and Shell Sarawak/Sabah worth more than RM7 billion in total.

KUCHING: Dayang Enterprise Holdings Bhd (Dayang) posted the highest ever year-to-date profit after tax of RM83.9 million in 2011, an increase of 23.9 per cent from RM67.7 million recorded previously.
Revenue for the financial year ended December 31, 2011 also rose to RM382.3 million an increase of 50 per cent, versus the corresponding period of the previous year at RM255.4 million.
In a filling to Bursa Malaysia recently, Dayang said all segments registered higher revenue this year as compared with the previous year with offshore topside maintenance (TMS) contributing RM125 million or 99 per cent of the increased revenue.
More importantly, on top of the good set of financials, the group also posted an impressive health safety performance. As of end January 2012, it achieved a record of 25 million man hours without loss time injury since 2004. This was an added advantage for Dayang to position itself as a strong and proactive player in the industry.
With the good track record, Dayang will be in a strong and competitive position to technically qualify for the upcoming tenders of major hook-up and commissioning contracts amounting to more than RM7 billion, from Petronas Carigali Sdn Bhd (PCSB), Shell Sarawak/Sabah and ExxonMobil.
On the commercial front, Dayang’s order book stood at about RM1.4 billion with sizeable contracts being the PCSB topsides structural maintenance project worth RM802 million, PCSB hook-up and commissioning project worth RM200 million and Sarawak Shell & Sabah Shell Topside Maintenance Contract worth RM350 million.
Dayang’s board remained positive of its prospects for financial year 2012 as it has on-going contracts exceeding RM1.4 billion to last at least until 2016 and at the same time looking positively to replenish its order book.
The Group had a good start in 2012 when it secured a contract worth RM125 million from Talisman and another RM80 million contract for its workboat MV Dayang Zamrud with Brunei Shell.
Dayang’s Board declared a five sen per share single tier tax exempt second interim dividend, which would be payable on 12 April 2012.
On the prospects of Dayang Group, RHB Research believed focus would be on FY13 earnings and beyond, reflecting its view that significant development and maintenance work would and contract wins could propel Dayang to new heights.
It pegged Dayang’s fair value at RM2.35 per share, based on target 13 times FF12 earnings per share.