Technics Secures Leasing and Maintenance Contract

Mainboard listed Technics Oil and Gas Limited (“Technics” or together with its subsidiaries, the “Group”), a leading full service integrator of compression systems and process modules for the global offshore oil and gas sector, is pleased to announce that it has been awarded its 3rd leasing contract worth S$17.3 million. It involves a 5 years leasing and maintenance contract for 5 units of Gas Compressor equipment as well as 1 year plant maintenance contract (with an option to extend for another 2 years) in Indonesia. 

Despite strong competition from other international competitors, the Group was eventually selected due to its excellent technical proposal, experience and proven track record in the related field. 

“Given our recent successes in EPCC and CE projects in several countries in the region, we are witnessing higher interest levels and support from large multi-national corporations while we maintain strong ties with key customers.” 

These contracts are not expected to have positive material impact on the earnings per share for the financial year ending September 2014. 

The award of these contracts comes rapidly on the back of a series of recent contract wins by the Group. A brief recap of recent contract wins is as follows: 

•    On 9 July 2014, the Group was awarded contracts worth a total of S$6.2 million for supply of Gas Booster Compressor for Production Facilities and Gas Compressor Skid for FSO Vapor Recovery Project in Vietnam. 

•    On 27 May 2014, the Group was awarded contracts worth a total of S$7.4 million for supply of Booster Compressor Package for Wellhead Platform for Vietnam and EPCI for Steel Structure. 

•    On 12 Nov 2103, the Group was awarded the 2nd leasing contract and outright sales contract worth a total of S$10.1 million for 9 Reciprocating Gas Compressor Engine Driven packages from Indonesia and Malaysia. 

•    On 4 Nov 2013, NOG awarded its 1st Micro LNG plant project worth S$21.0 million for the supply of process equipment & accessories for Indonesia. 

•    On 27 May 2013, the Group was awarded contracts for the supply of Air Spread Systems from Singapore worth S$10.6 million. Shareholders and potential investors should exercise caution when trading in the shares. Persons who are in doubt as to the action they should take should consult their legal, financial, tax or other professional advisers.

Shareholders and potential investors should exercise caution when trading in the shares. Persons who are in doubt as to the action they should take should consult their legal, financial, tax or other professional advisers.