KNM got news:
7164 KNM KNM GROUP BHD
MEMORANDUM OF AGREEMENT
MEMORANDUM OF AGREEMENT BETWEEN KNM PROCESS SYSTEMS SDN BHD AND SOCIETE DES
HYDROCARBURES DU TCHAD S.A. (THE NATIONAL OIL CORPORATION OF CHAD)
The Company is pleased to inform that its wholly owned subsidiary, KNM Process
Systems Sdn Bhd (KNMPS) had entered into a Memorandum of Agreement on 29 July
2009 with Societe Des Hydrocarbures Du Tchad S.A. (The National Oil Corporation
of Chad) in Djamina, the Republic of Chad to undertake, inter alia the
following:-
A. Establish a new joint venture operating company (JVCo) with a 60:40 split
in equity and share of dividend in KNMPS favour, whereby the JVCo will be
granted a 5 year concession commencing from first date of production (the
Concession Period) to develop, operate and maintain the Sedigi Oilfield
Facilities in Chad comprising of production facilities, oil and gas pipelines,
LPG processing and bottling plant and a 30MW gas power plant.
B. KNMPS will undertake the EPCC (turnkey) Contract with an estimated value
of USD220 million for a duration of 24 months.
C. The JVCo will award to KNMPS, training, operations and maintenance of the
facilities for the Concession Period.
D. The parties agree to finalise the details and execute a Joint Venture
Operating Agreement (JVOA) by 31 August 2009.
E. The Government of Chad will be entitled to royalties at 20% for oil and
10% for gas.
F. Societe Des Hydrocarbures Du Tchad S.A. will endeavour to secure tax
benefits within existing laws and KNMPS will do same for interest cost of
project funding.
This announcement is dated 30 July 2009.
wanna top up some into existing 4500 units holding right now...