The Board of Directors (the Board) of Federal International (2000) Ltd (the “Company” and together with its subsidiaries, the “Group”) wishes to announce that Federal Hardware Engineering Co. Pte Ltd (“FHEC”), a wholly owned subsidiary of the Group, has signed a Procurement Agreement (“AGREEMENT”) with PT OGSPRO INDONESIA (“OGSPRO”) to co? operate exclusively to execute a 15km of 36” pipe?laying project for ENI Muara Bakau Lean Gas Pipeline Project in Kalimantan, Indonesia.
The construction of the pipeline will take about 10 months to complete. Under the AGREEMENT, FHEC shall provide the expertise for the materials and consumables supply, construction and will also undertake the project management. FHEC shall be given the first right of refusal to supply the materials required for the construction and will also, undertake co?management of the project.
None of the Directors of the Company and, to the best knowledge of the Directors of the Company, none of the substantial shareholders or controlling shareholders of the Company, has any direct or indirect interest in the transaction.
The above transaction is not expected to have a material impact on the net tangible assets per share or the earnings per share of the Group for the financial year ending 31 Decembr 2017.