SHAH ALAM: TH Heavy Engineering Bhd, owned 30 per cent by Tabung Haji – the haj pilgrimage fund – is the company which is negotiating the contract for the MMEA OPV project. The company released a statement yesterday in regard to a query by Bursa Malaysia.
Malaysian Defence has reported that MMEA is looking to have 3 locally-built OPVs for RM740 million.
From the Star.
PETALING JAYA: TH Heavy Engineering Bhd is in preliminary discussions with relevant government agencies to secure a contract for the supply of offshore patrol vessels.
“The terms of the contract remains to be negotiated and is in a state of flux,” it said in a reply to Bursa Malaysia yesterday over the sudden surge of its share price and trading volume.
The company said it intended to capitalise on the strategic location and resources of its fabrication yard and will continue to pursue all opportunities related to the upstream oil and gas business as well as to diversify into downstream and other non-oil and gas businesses such as marine vessel building and repairs. There was no indication on the size of the contract that the company is targeting.
The company is 30%-owned by Lembaga Tabung Haji. TH Heavy had been hit hard by the downturn in the oil and gas industry.”
I was reluctant to name company in my earlier post MMEA OPV as they were still negotiating the details and because there were many sharks in the water. Since they already made the announcement I guess there is no harm in naming them though based on the statement above, negotiations are in a flux.
TH Heavy has fabricated various oil and gas platforms and other structures but it has never build ships before.
A politician when commenting on the possible contract to TH Heavy claimed that it would be a bail out. Of course, it is a bail out. Under the current circumstances, if the contract is awarded to any shipyard in Malaysia, it will also be a bail out.
— Malaysian Defence.If you like this post, buy me an espresso. Paypal Payment