Dayang Enterprise Holdings Bhd

05/10/2021 | Press release | Distributed by Public on 05/10/2021 20:14

Award of Contract for the Provision of Topside Major Maintenance Services for Sarawak Shell Berhad and Sabah Shell Petroleum Company Limited

1. INTRODUCTION

The Board of Directors of Dayang Enterprise Holdings Bhd ('DEHB' or 'the Company') is pleased to announce that its wholly-owned subsidiary company, Dayang Enterprise Sdn Bhd ('DESB'), has been awarded a contract by Sarawak Shell Berhad ('SSB') and Sabah Shell Petroleum Company Limited ('SSPC') for the Provision of Topside Major Maintenance Services for SSB and SSPC under Package A.

2. VALUE AND DURATION OF THE CONTRACT

The value of the Contract is based on work orders issued by SSB and SSPC throughout the Contract duration and shall include any or all other work and services which is generally related to the scope of works in this contract at a fixed schedule of rates.

The duration of the Contract is effective from 29 April 2021 until 19 August 2023.

3. RISK FACTORS

Risk factors affecting the award include execution risks such as availability of skilled manpower and materials, changes in prices of materials, changes in political, economic and regulatory conditions. Throughout the years, DESB has established its track record and expertise to undertake these projects. Notwithstanding this, DESB shall ensure strict compliance to the safety and operational procedures in the execution of contract requirements.

4. FINANCIAL EFFECTS

The Contract will have no effect on the issued capital of the Company and is expected to contribute positively to the earnings of DEHB over the duration of the Contract.

5. DIRECTORS' AND MAJOR SHAREHOLDERS' INTEREST

None of the directors, major shareholders and/or persons connected to them has any direct or indirect interest in the Contract.

6. DIRECTORS' STATEMENT

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

This announcement is dated 10 May 2021.