KUCHING: Petra Energy Bhd’s subsidiary, Petra Resources Sdn Bhd (PRSB), has been awarded a subcontract for hook-up and commissioning (HUC) works for Kasawari CCS project.
The subcontract was given by Malaysia Marine and Heavy Engineering Sdn Bhd (MMHE).
The subcontract period is from March 2023 to December 2025.
“Being given the opportunity to undertake work for one of the largest offshore CCS (carbon capture and storage) projects in the world is a meaningful achievement for Petra Energy.
“The subcontract is expected to contribute positively to the earnings and net assets of Petra Energy group for the duration of the subcontract works,” the company said in a filing with Bursa Malaysia.
According to media reports, Petroliam Nasional Bhd (Petronas) reached a final investment decision for the development of the Kasawari CCS project in November 2022.
The CCS project is expected to capture up to 3.3 million tonnes of carbon dioxide (CO2) equivalent emitted by flaring at the Kasawari gas field each year.
Developed by Petronas, the Kasawari gas field, which is situated about 200km from the coast of Bintulu, is located at a water depth of some 108m in Block SK316 in Central Luconia.
Block SK316 hosts large-scale proven gas discoveries and exploration prospects with comparatively high levels of CO2 content and also holds the NC3 and NC8 fields.
The gas project is being developed in four phases — installation phase, pre-commissioning and commissioning phase, operation phase and project decommissioning phase.
MMHE has also earlier awarded a sub-contract for hook-up and commissioning works for KSCPP Kasawari for engineering, procurement, construction, installation and commissioning (EPCIC) of the Kasawari gas development project to Petra Energy group, according to Petra Energy chairman Tan Sri Sulong Matjeraie in the company’s 2022 annual report.
MMHE was awarded the Kasawari EPCIC contract by Petronas Carigali Sdn Bhd.
The contract includes the construction of 47,000 tonnes of central processing platform and 8,600 tonnes of wellhead platform and a flare structure.
The contract also involves transporting and installing an 85-km pipeline linking the Kasawari CPP to the existing E11R-A platform.
Meanwhile, Borneo Oil Bhd (Borneo) has fixed the issue price of its private placement at RM0.0153 per placement share.
The issue price represents a discount of approximately 14.53 per cent to the 5-day volume weighted average price (VWAP) of Borneo shares up to and including May 11, 2023, being the last traded day of Borneo shares immediately preceding the price-fixing date of RM0.0179 per Borneo share, the company told Bursa Malaysia.
Borneo, which owns fast-food restaurant chain SugarBun, has proposed to issue up to 20 per cent of the total number of the company’s issued shares to third party investor(s).
Based on its earlier indicative issue price of RM0.0161 per placement share, the fund raising exercise could raise up to RM31.2 million.
The proceeds from the private placement will be utilised for working capital requirements of the group’s Resources and Sustainable Energy segment, Food and Franchise Operations as well as Property Investment and Management Segment.
