KUALA LUMPUR (Jan 16): UMW Oil & Gas Corp Bhd (UMW-OG) has secured an umbrella contract from Petronas Carigali Sdn Bhd — the exploration and production arm of Petroliam Nasional Bhd (Petronas) — for the provision of hydraulic workover units (HWU).
UMW-OG said in a stock exchange filing that the umbrella contract was awarded to its indirect wholly-owned unit UMW Workover Sdn Bhd, with relevant approvals relating to the contract having been secured today.
"The contract is for the provision of HWU to undertake workover services for Petronas Carigali under an umbrella contract. It calls for the use of all or any of UWO's (UMW Workover's) five HWU, namely UMW Gait 1, UMW Gait 2, UMW Gait 3, UMW Gait 5 and UMW Gait 6 to undertake workover services, which are services rendered in performing maintenance and/or remedial treatments on an oil or gas well," said the oil and gas outfit.
As an umbrella framework contract, UMW-OG said it provides an "over-arching contractual relationship" comprising a series of individual orders and call-outs. "At present there has not been any call-out or work orders for services," the group said.
The contract is for a three-year period from Dec 22, 2017, with a one-year extension option, UMW-OG said.
At 5pm, shares of UMW-OG slid 1 sen or 2.41% to settle at 40.5 sen with 103.92 million shares traded, giving it a market capitalisation of RM3.33 billion.
http://www.theedgemarkets.com/article/umwog-gets-3year-umbrella-contract-petronas
