KNM bags RM26.38m contract to supply pressure vessel parts to Dutch firm

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KUALA LUMPUR (Feb 13): KNM Group Bhd has secured a contract to supply a Dutch-based firm with PME-pressure vessels-separators for US$6.49 million (RM26.38 million).

The group said its wholly-owned unit KNM Process System Sdn Bhd received the purchase orders from Single Buoy Moorings Inc (SBM) today.

The products will be used for SBM’s Liza Unity floating production storage and offloading (FPSO) engineering, procurement, construction and installation project in the Starbroek block in Guyana, South America, KNM said in a stock exchange filing. 

“The supply and delivery duration of the goods is for a period of 13 months, commencing from the date of the purchase orders respectively,” it said.

The transactions are expected to contribute positively towards KNM’s earnings for its financial years ending Dec 31, 2019 (FY19)and Dec 31, 2020 (FY20), the group added.

Shares of KNM closed down 0.5 sen or 5.26% at 90 sen today, leaving the group with a market value of RM213.25 million.