Barakah Offshore Petroleum Berhad (Barakah) is pleased to announce that its wholly-owned subsidiary company, PBJV Group Sdn Bhd ("PBJV"), was awarded a Farm-In Agreement by IPC Malaysia B.V. for the provision of Pan Malaysia Maintenance, Construction and Modification (PM-MCM) Contract for 2018-2023 Package A (West Malaysia)(hereinafter referred to as "Contract").
INFORMATION ON THE CONTRACT
The scope of the Contract will generally include maintenance, construction and modification work for structures and facilities for the client's oil and gas fields offshore Peninsular Malaysia. The total value of the Contract is not fixed and will depend on the actual scope based on work orders to be issued by the client from time to time throughout the duration of the Contract. The Contract duration is from 22 November 2018 to 10 July 2023 in accordance with the terms and conditions of the Contract.
The Contract is expected to contribute positively towards the earnings and net assets per share of Barakah Group for the duration of the Contract.
Risk factors affecting the Contract include, but not limited to, execution risks such as availability of skilled manpower and materials and changes in prices of materials. Barakah Group has, throughout the years, established its track record and expertise to undertake such projects.
As such, the management of Barakah Group believes that the Group is able to mitigate the abovementioned risk factors.
DIRECTORS AND MAJOR SHAREHOLDERS' INTEREST
None of the Directors and/or major shareholders and/or persons connected with the Directors and/or major shareholders of the Company has any direct or indirect interest in the Contract.