Sime Darby Berhad has secured a contract from Petronas Carigali Sdn Bhd (Carigali) worth RM1 billion for the construction of offshore oil & gas processing platforms.
The contract was awarded to Sime Darby Engineering Sdn Bhd (SDE), Sime Darby's wholly owned subsidiary, a comprehensive provider of engineering, procurement, construction, installation, hook-up and commissioning (EPCIC) services to the oil & gas industry.
SDE recently received a Letter of Award (LOA) worth RM1 billion from Carigali for the construction of a 26,000 metric tonne platform. The construction work on the project is expected to begin before end of the year at the SDE yard in Pasir Gudang, Johor, which has a total working area of 95 acres and annual capacity of 45,000MT.
Sime Darby President & Group Chief Executive Dato' Seri Ahmad Zubir Murshid said the Group was pleased with the prospects of the contracts and the win is symbolic as SDE celebrates its 25 years in the oil & gas business.
"Carigali is not a new customer. We have provided our services to them in the past. Our competitive advantage is our commitment to safety, our cost effectiveness and we have also been able to deliver on time. We are now able to compete more effectively across the oil & gas supply chain as we also have marine vessels," he said.
The Carigali contract encompasses the fabrication, engineering, procurement, testing and pre-commissioning, load-out and sea fastening of the platform to service its Kumang Cluster in Sarawak, Kinabalu Jacket in Sabah and the Tangga Barat Cluster (Package 2) located in Peninsula Malaysia's Eastern waters.
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