Any active bidders for PETROS samalaju pipeline tender?

All these while i had the impression that oil & gas service provider are cash rich, why? even small scale contract they furnish their yard very nicely, got provide makan-makan to their staff, gaji also not bad, if renting also, rent at high profile areas.
Paduhal its the other way round.

This post has been edited by Rorschach85: Aug 7 2023, 06:27 PM

Handal Energy Berhad Gets Destroyed and Abandoned by Dysfunctional Insiders that Continue Ruining It

Handal Energy Berhad, formerly Handal Resources Berhad was once a Malaysia-based oil and gas company that obtained Bursa listing on July 30, 2009. It operated in the field of manufacturing, maintenance, and servicing of offshore cranes. The Company used to provide offshore crane fabrication, overhaul and maintenance and offshore crane rental; engineering project support services; engineering procurement and construction (EPC) work as well, all for the oil and gas sector. That continued until a few years ago. Now, this company specializes in incurring losses on ever decreasing revenues while looking for new ‘get rich quick’ schemes. One could say that Handal is like an old yet still immature person without any focus that still tries to find his purpose in life not knowing what to do.


Handal's Yard in 2009 (First Annual Report)

While the Company appears unmotivated and aimless, it sure is consistent in delivering decreasing revenues and profits. The diagram below illustrates drop of both measures since covid pandemics. While other oil and gas sector companies rebounded, there is only one trend for Handal: down.



No wonder that the financial results suffered while management went on misadventures. Strangely, the group “recorded a profit after tax of RM12.834 million for the period in 2023 and included in the profit after tax of the group is the gain on disposal of subsidiary amounting to RM17.329 million and reversal of impairment.” With this type of tricks (disposals, reversals) investors have no idea how the company is performing. But it is obvious that company is suffering. As the all-time low share price is reached, so is Handal – sinking like a Titanic after hitting an iceberg, going down fast with all the minority shareholders on board. How can there be any real profit (free cash) when many employees of the Company have not been for months and they protested the Company as seen below in 2022 photo:


Malaysian Trade Union Congress (MTUC) Sec. General, at Handal

While there could be many reasons for this catastrophic performance, complete lack of focus or respect for own business is the root cause for failure. Only on June 27, 2023 Company announced “ambitious diversification plan that paved the way for HANDAL's expansion into telecommunications and marine sand extraction.” Handal was dissatisfied with the “traditional integrated oil and gas business that has been grappling with intensifying competition and escalating raw materials and supply costs.” In a nutshell, Handal no longer had the motivation to compete for new projects in its specialty.


5g Sand Mining at Handal (Joke)

With crude oil price approaching 100 USD per barrel and the revival of Malaysian Offshore Industry, the timing of this policy could not be worse. In addition, there is nothing in common between sand mining and 5g industry. There can be no synergy in developing those two ventures while abandoning own skill set for waste. There can be no reasonable expectation that unmotivated Handal can provide expertise and innovation in these new fields that are as competitive as oil industry service sector.

What on earth (sand) caused the management to undertake such a nonsensical decision is beyond imagination. Handal did not try hard to implement new objectives, with plans collapsing like a broken crane in wind. On September 15th 2023 Company announced in their Proposals that it “plans to dispose its entire stake in Handal Digital and Handal Borneo Resources as their proposed business activities are expected to require significant investment from Handal, typical of the telecommunications infrastructure and marine sand mining industries.” Obviously, money and motivation are not on hand. Hopefully spent on overdue salaries. The virtual profit is NOT available.

In such a situation of distress, it is best to observe the actions that are taken, not the words spoken or put on paper. And those actions are clear: insiders have abandoned the company and liquidated their holdings. All the major shareholders have sold out, leaving the company ownership to the unsuspected minority shareholders. An unprecedented irresponsibility of dumping the shares without even considering replacement to take over the management role.


Workers, Assets, and Investors Abandoned by Insiders during Project Works

There may be silver lining to this story. In view of abhorrent performance and complete failure of this management Handal should end up with new owners, more competent and committed to the business. However, there is a problem. The main figures of the financial tragedy stay in the company collecting salaries while no longer having any interest in it. Top salary is RM1.9+ million – an obscene amount that is higher than the last quarterly revenues of the whole Handal Group (RM1.2 million). The insiders just milk Handal to the fullest, getting paid big while company suffers, while employees are unpaid or paid late. Insiders are just waiting until someone else takes over and shows them the door. The overstayers even brought in a few ‘friends’ that have absolutely no connection to oil and gas industry, nor the experience, to sit on the board of directors. Only a few honourable insiders quit, and minority shareholders should be grateful for it as they vacated space for new arrivals.

It used to be normal in the past that a failing person would leave the scene as soon as possible in order to avoid direct humiliation. This is no longer the case. Handal insiders have no shame. Failing management is sitting tight in the office and getting free money before being kicked out. Let us hope it is not going to be long. And let us hope Handal can return to doing what they can best: fixing cranes and gas turbines.
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word has it, got 1 big dude is in control

client side e.g. petronas yes still, some even do day trips. For contractor e.g. topside maintenance, usually > 30 days on, off depends, it can be few days and you'll get called again or it can be weeks or months.

Its been years didnt enter petronas onshore plant, i can say, their HSE requirement is truly something else, they wana kill the vendors in the long run? While other installations i.e. MLNG / ABF have their internal system, PCSB insist on vendors to pay for much of the trainings required. Fellas, don't underquote lol

Sometimes its just industry bias, construction to o&g they will say exp not relevant, but if u turn it around o&g to construction they will say their experience is vast.
I guess depends on the interviewer, the ones who worked in both should understand & know better vs the ones who spend entire career in o&g only.
But 1 skill is transferable skill in most industry is planning skills. Perhaps u can start from there.

huhu petros susah la..don't want spend money. If you participate in their bidding exercise also, they mcm lack of clue how to prepare proper scope of work, deliverables to ease the bidders, padahal they hired those so called seasoned o&g otai?

sounds alot like standard state govt processes

How about shell MDS?

very close knit, is the same word heard over and over again by local lobbyist. You are the xx person to say the same thing. shh...

Don't forget to join their ABC awareness training on 14-Jan ya

Why not? I will take time for them to grow just like how petronas learned from and overtook pertamina.