Do read which entity
Sapura OMV and Sapura Energy (SEB) ...

Cannot be considered as 1 umbrella

As theres probity / compliance issues on this particular subject. Only SOMV / SEB has this potential conflict but it was managed properly.

Agreed.

SOMV is also OK

That's why I facepalm when their management said due to COVID> this issue started from before COVID already for many years.
Especially their vendors never paid on time and have to resort to stop work / stop delivery to obtain some payment

Reason commonly given to vendors: "HQ" processing payment

Its not his wifes name but mother.

Yes heard the same info. Hyundai HDEC lost.

Offshore June - early july at latest.


There's 1 ongoing proposal for engineering study in Sarawak for Hydrogen plant. Small study under Sarawak govt.

SOMV not affected. Sapura Energy different company.

Was at OTC yesterday.
Very subdued with fewer Operators (PTT, Petronas) and a few major Contractors (Dialog, Technip, Schlumberger)

During conversation with 1 of the vendors /certification company there, they shared that they have millions in overdue payments from SEB and pending court order. Lucky, they support other clients and some directly with the major operators, hence they are afloat.

Jerun is under SOMV.
SOMV is ok not affected.
The epcc is Mmhe not SEB.

This post has been edited by ZZMsia: Mar 26 2022, 10:51 AM

The project was FEED first followed by EPCC.

FEED by PRW KL

Do they have any staff in Malaysia? Mostly I see is in Singapore.

Bumi armada started hiring recently.. anyone has clue for which project? From junior levels to project manager level

https://www.freemalaysiatoday.com/category/...le-says-report/

Sapura Energy, which is saddled with RM10.3 billion in loans from nine banks, has begun discussing a debt-restructuring plan and is planning to sell some of its assets to return to sustainability.

In addition to the nine lenders, the company also owes RM1.5 billion to about 3,000 vendors, The Star reported.

Sapura Energy’s group chief executive officer Anuar Mohd Taib said it has received “majority support” from its nine lenders to start negotiations.

“Sapura Energy can no longer sustain its operations under its current debt load, which demands almost half a billion ringgit in interest payments annually. The faster we can restructure our debt, the better,” he was quoted as saying.

The report said the nine banks may have to take a massive 75% haircut under the proposed plan.

In the business context, a haircut refers to the lower-than-market value placed on an asset being used as collateral for a loan.

With Sapura Energy having lost the interest of the investment community, Anuar said that the company is planning an asset divestment exercise to return to sustainability.

“The objective is to get back to sustainability, reduce the debt burden, ensure we can pay past dues to our vendors, generate enough margins and raise working capital to fund future projects.

“Divestments will help us do that,” Anuar told The Star, adding that the company is unlikely to tap more equity funding to solve its problems.

However, he was tight-lipped on the assets the company had earmarked for sale but gave some hints. He said the group wants to focus on its services, which means lesser focus on exploration and production (E&P).

“This means that assets in the latter category are likely to be up for sale,” the report said.

Sapura Energy’s E&P assets include a remaining 50% stake in SapuraOMV, a company that operates oil fields in shallow Malaysian waters.

In 2018, Sapura Energy sold 50% of its upstream oil field assets to the OMV group, an Austrian-based outfit, to create SapuraOMV.

“The stake sale brought it US$890 million (RM3.7 billion), with most of the proceeds being used to retire some of Sapura Energy’s debt,” the weekly said.

It added that Sapura Energy has other sizeable assets, including its fabrication yard in Lumut, six semi-tender drilling rigs, six tender assist rigs and some vessels.

Aside from retiring debt, Anuar said he hoped to use around RM1.5 billion to RM1.8 billion from asset disposals for working capital purposes.

Describing the current problem as one that was caused by “legacy contracts”, he said Sapura Energy inherited this from the previous management that took the decision to aggressively bid for projects after the oil crash in 2014.

“The downcycle of the O&G sector, which started with the oil price crash in 2014, lasted for almost seven years. During that time, many service providers like us went into aggressive bidding as we chased the shrinking job pie. Oil majors had cut their capital expenditure.

“With the prolonged under-investment by the oil majors coupled with the competitive tension among those of us bidding for projects, the result was that the clients passed most of the risk to us. This is why all of us in O&G services are in trouble,” Anuar was quoted as saying by The Star.

He added that Sapura Energy had many projects that were returning a negative value, adding that all of its losses stemmed from these legacy contracts.

Anuar pointed out that the Covid-19 pandemic exacerbated the situation.

“When the Covid-19 pandemic hit, some O&G services firms started restructuring, but we thought we could continue, at least this was the understanding.

“I joined in 2020 as chief operating officer and then took over the CEO’s role in March 2021. At first, we did not understand the extent of the challenges. But after taking over the helm, we realised that the company has a lot of these ‘legacy contracts’ with challenging margins,” he said.

They are admitting something


Describing the current problem as one that was caused by “legacy contracts”, he said Sapura Energy inherited this from the previous management that took the decision to aggressively bid for projects after the oil crash in 2014.

“The downcycle of the O&G sector, which started with the oil price crash in 2014, lasted for almost seven years. During that time, many service providers like us went into aggressive bidding as we chased the shrinking job pie. Oil majors had cut their capital expenditure.

“With the prolonged under-investment by the oil majors coupled with the competitive tension among those of us bidding for projects, the result was that the clients passed most of the risk to us. This is why all of us in O&G services are in trouble,” Anuar was quoted as saying by The Star.

He added that Sapura Energy had many projects that were returning a negative value, adding that all of its losses stemmed from these legacy contracts.


This post has been edited by ZZMsia: Apr 2 2022, 08:51 PM

What Serba Dinamik didn’t want you to know

https://www.theedgemarkets.com/article/cove...t-want-you-know

There was also email communication among Serba Dinamik’s employees requesting for the preparation of purchase orders for 12 of Serba Dinamik International Ltd’s customers, amounting to US$66.89 million, among others. Serba Dinamik International Ltd is a wholly owned unit of Serba Dinamik.

As for KPMG’s queries on Serba Dinamik’s business in Bahrain — on the validity of the transactions and balances of a customer, Lata International Trading and Services SPC, and a supplier, Spectrum Oilfield Solution WLL — EY Consulting found that Serba Dinamik could have been managing, processing and paying the salaries of Lata’s employees, with approvals for the payments given by Mohd Abdul Karim via phone text messages.

There were also email communications between Lata and Serba Dinamik which suggest that Serba Dinamik was involved in preparing invoices for Lata. Lata’s company stamp was also found in one of the boxes seized by the SC.

KPMG’s grouse about Lata had been that its commercial registration address was that of workers’ accommodation.

EY Consulting also found Microsoft Excel spreadsheets containing nine invoices and delivery order templates of Sprectum Oilfield amounting to US$12.72 million in a device belonging to one of Serba Dinamik’s employees.

“The cumulative effects of the findings substantiate the concerns of KPMG,” a court document read.

Exactly, good question.
How did this happen for so long
Do you know wht exactly projects they had / doing?

As their clients are all mysterious names with almost zero or close to zero websites , let alone address.

I see. Does anyone knw what happened to their MRO plant project in Pengerang? For mechanical rotating equipment.

IT seems that airline caterer Brahim’s Holdings Bhd will not be alone to greet the end of its lifespan as a listed entity.

Following hard on its heels is Scomi Group Bhd whose days are numbered after Bursa Malaysia Securities Bhd rejected its request for more time to submit its regularisation plan after the global service provider in the oil & gas (O&G) and transport solutions industries fell into Practice Note (PN17) status in December 2019.

This came about as Scomi Group’s shareholders’ equity spread was less than 25% of its issued share capital with its equity having dropped below RM40 mil based on its financial results for the quarter ended June 30, 2019.

Scomi Group is now at risk of being delisted from the Main Market on April 22 unless it is able to submit its appeal by April 18 to prevent its securities from being removed from the local bourse.

“Upon submission of the company’s appeal and pending Bursa Securities’ decision, the delisting of the securities of the company from the Official List of Bursa Securities will be deferred,” Scomi Group noted in a Bursa Malaysia filing yesterday (April 11).

“However, Bursa Securities shall proceed to suspend the trading of the company’s securities on April 20, 2022,” it said.

At the time of writing Scomi Group nosedived 2 sen or 80% to 0.5 sen with 58.49 million shares traded thus valuing the company at a mere RM6 mil.

Coincidence or otherwise, the sound of the death knell on both Brahim’s and Scomi Group spells a blow to two listed entities with family link to Malaysia’s fifth Prime Minister Tun Abdullah Ahmad Badawi (2003-2009) – Brahim’s was founded by Abdullah’s brother Datuk Seri Datuk Seri Ibrahim Ahmad Badawi while Scomi Group which was listed on May 13, 2003 was controlled by businessman son Tan Sri Kamaludin Abdullah.

Recall that Kamaludin and his partner Shah Hakim @ Shahzanim Zain (who is currently the CEO) controlled 44.32% of Scomi Group via their vehicles Kaspadu Sdn Bhd and Onstream Marine Sdn Bhd. Abdullah became PM on end-October 2003, five months after Scomi Group’s listing.

In a cover story in The Edge Weekly (Feb 11-Feb 17, 2019) entitled “Scomi’s Colourful Past”, writer Jose Barrock made the following historical observation on Scomi Group:

“Just a few years before that, the company had been known as Subang Commercial Omnibus & Motor Industries Sdn Bhd and was largely in the business of buses, but the emergence of Kamaluddin and Shah Hakim as shareholders in 2000 paved the way for much bigger things, specifically, forays into the oil and gas sector.

“At the time, a head of research of a Singapore-based group said, ‘It (SGB) can’t go wrong, future PM’s son’s company, oil and gas some more … can close eyes and buy.’

“In July 2003, two months after its flotation exercise, Scomi Group’s stock hit a record high of RM16 per share and it was trading at a price-earnings multiple of almost 70 times in anticipation of stronger oil prices. This, in turn, spurred demand for Scomi Group’s services which included supplying drilling fluids, a substance used to reduce friction in exploring for oil.”

Well, needless to say, Scomi Group – like many other listed entities that were ultimately delisted in the past – went through numerous upheavals which left it in the state that it is in today.

At the end of the day, suffice to say that crony capitalism which leverages collusion between a business class and the political class will never be able to outlive the test of time. – April 12, 2022

https://focusmalaysia.my/scomi-to-be-2nd-ab...-after-brahims/

https://www.rigzone.com/news/saipem_crane_v...168656-article/

Did anyone see this video?

Heard by mid may.
Wait for the announcement.
Two tenders pending awards.

S..... offer optional sabbatical leave to their staff.
Salary 3 months 40 percent of basic salary and next 3 months 20 percent of basic salary.
.