SapCrest, Kencana to see boost from shared FSPO contract

Dateline 2012-02-17:

SapuraCrest Petroleum Bhd (SapCrest) and Kencana Petroleum Bhd (Kencana) are forecasted to see boosted earnings from a shared floating, production, storage and offloading (FSPO) contract, possibly in the near term.

The two oil and gas players separately announced agreements with their Berantai marginal field partner Petrofac Energy Developments Sdn Bhd (Petrofac) to each acquire 24.5 per cent interest in Berantai Floating Production Ltd (BFPL) for US$85.7 million cash.

BFPL would invest in an FPSO that would be used for the project. Petrofac would retain 51 per cent of BFPL and each equity partner would also provide a shareholders’ loan to BFPL to finance the FPSO investment and conversion although BFPL would also likely secure external financing.

RHB Research Sdn Bhd (RHB Research) stated in a research note, “While we still like the prospects of the merger (SapCrest-Kencana) which will create a large and formidable competitor for regional oilfield services (and especially for projects in Malaysia), we believe there could be some profit taking in the near term.


2 Responses to SapCrest, Kencana to see boost from shared FSPO contract

  1. nizamer says:

    Feel proud as staff of Sapuracrest..hehe..maju maju maju…jangan mundur mundur..

  2. Ibrahim says:

    ASM, I believe this merger would create more job opportunities. Would you kindly email me a contact person that can go thru or forward my resume to HR? I am currently considering going back to working with offshore construction/installation contractor. Past experience with offshore subcontractor in Singapore, and in fact had been on the LTS 3000, and ,currently, with major oil and gas consultant as structural engineer back in KL. Nevertheless, I miss offshore life and sitting in front of computer doing analysis is not for me. Please do help. Terima kasih sangat kalau dapat forward. Don’t mind a little chit chat session even before considering forwarding. I understand reputation would be at stake.

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