KUALA LUMPUR (June 13): The consortium comprising Barakah Offshore Petroleum Bhd’s wholly-owned subsidiary, PBJV Group Sdn Bhd and Beumer Maschinenfabrik GmbH & Co KG, has been awarded a contract by Asean Bintulu Fertiliser Sdn Bhd (ABF) to provide engineering, procurement, construction and commissioning (EPCC) package for the Rejuvenation of Urea Ship Loading Facilities Project at Asean Bintulu Fertiliser Plant in Bintulu, Sarawak.

PBJV’s work scope within the contract is valued at around RM35 million.

In a filing with Bursa Malaysia today, Barakah said the project will be carried out from June 1, 2017 to Dec 31, 2019, with an option for extension of up to four months by ABF.

"It is expected to contribute positively towards the earnings and net assets per share of Barakah Group for the duration of the contract," it added.

ABF is a 63.5% subsidiary of Petroliam Nasional Bhd and is a joint venture involving five Asean countries, namely Malaysia (63.5% share), Thailand (13%), Indonesia (13%), the Philippines (9.5%) and Singapore (1%).

The plant commenced operation in 1985 and is among the largest granular urea plants in Asia.

According to Barakah, Beumer’s job scope in the contract is engineering, procurement, fabrication/construction/installation for all components, works and facilities for the urea plant while PBJV will be involved in pre-commissioning, inspection and testing; commissioning, start-up and installation of the plant’s facilities.

The facilities to be replaced/partially replaced are shiploader, compact substation, screening station, tripper car at bulk urea storage, reclaimer scrapper, conveyor systems and transfer station.

“We are excited to be working with Beumer for upgrading and rejuvenating the facilities of one of the largest urea plants in Asia. This is part of our smart partnership initiative with leading international industry players to bring new technologies to Malaysia and this region," Barakah group president and chief executive Nik Hamdan Daud in a statement.

"This project will expand our technical capability and workscope into more technology driven products and services. Given huge refinery and petrochemical plant investments in Malaysia, we hope to be involved in more upgrading projects with technology partners in the near future," he added.

Barakah shares closed unchanged at 60 sen per share today, valuing the group at RM495.31 million.