Thursday, October 29, 2015

Oceancare Ties Up With Chinese Firm To Venture Into Oil Exploration Services

KUALA LUMPUR, Oct 29 (Bernama) -- Oceancare Corporation Sdn Bhd, a local oil and gas maintenance service provider, has partnered with a listed company in China, China Oulfield Services Ltd (COSL), to venture into oil exploration services to expand its business growth.

Oceancare President Datuk Nelson Balang Rining said with the partnership, the company could now broaden its services from maintenance to oil exploration services by leveraging into COSL's reputable expertise in cementing and drilling fluid services.

"Oceancare has thus far involved in works like underwater inspection, electrical and instrumentation services as well as corrosion control, with a current orderbook of about RM500 million.

"With this partnership, we are eyeing jobs in cementing and drilling fluid services to boost the company's growth and sustainability.

"This segment has potential of bigger contract value of around RM1 billion to RM2 billion for a contract," he told reporters after the signing of the cooperation agreement here today.

He added that COSL was chosen as it is a reputable global company with competitive pricing as well as being recognised by Petronas.

Meanwhile, Deputy President and Chief Executive Officer Datuk Loh Jack Yung said this year has been a competitive year for the oil and gas industry where oil companies were seen cutting their cost and capital expenditure including Petronas.

He said Oceancare has been providing maintenance services for the past 14 years and looking at the current situation, the market for such services becomes very competitive, hence the company had to look for new services such as oil exploration services to sustain operations.

He said the partnership with COSL would allow them to tap into more jobs by offering more competitive pricing and cost-ffective technology, a strategy most oil companies look for amid the current low oil prices scenario.

"If we could sustain with the current level (oil prices), what more if it goes up, we could be more competitive, Loh added.


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