Ni Hsin ties up with Satumarin to venture into O&G industry

-A +A

KUALA LUMPUR (Sept 13): Cookware manufacturer Ni Hsin Resources Bhd is looking to work together with Satumarin Sdn Bhd to venture into the oil and gas (O&G) industry.

In a filing with Bursa Malaysia today, Ni Hsin said it had entered into a Heads of Agreement with Satumarin for mutual discussions relating to the proposed participation in the business and growth of Satumarin.

Satumarin is involved in providing professional offshore marine services and logistics support, project management and marine technical consultancy services to the O&G industry.

The two parties have jointly agreed to commence discussions and negotiations on the details of the structures and terms of the collaboration, which Ni Hsin said will be mutually beneficial and synergistic.

The parties intend to finalise and enter into the relevant definitive agreements within three months from the date of the Heads of Agreement.

Upon the signing of the definitive agreement of cooperation with Satumarin, Ni Hsin said the venture will enable it to expand its revenue and income stream.

Ni Hsin added the proposal is in line with its expansion plans. Furthermore, there is no capital commitment at this stage, except for the payment of a commitment deposit of RM150,000 which is refundable free of interest upon execution of the formal agreement or upon termination of the Heads of Agreement.

Shares of Ni Hsin closed one sen or 6.67% higher today at 16 sen per share with a market capitalisation of RM51.42 million.