Sapura Energy receives two-year contract extension worth RM580 mil from Petrobras

KUALA LUMPUR (Aug 2): Sapura Energy Bhd has been awarded a two-year extension of a charter and service contract by Petrobras in Brazil worth RM580 million.

In a statement on Tuesday (Aug 2), the oil and gas service provider said the contract was awarded to Sapura Navegação Marítima S.A, a wholly-owned subsidiary of Seabras Sapura Participações S.A, a joint venture company between Sapura Offshore Sdn Bhd and Seabras Serviços De Petroleo S.A.

“The contract scope of work includes the provision of services and charter of installation and recovery of flexible pipes in the Brazilian waters in a maximum water depth of 2,500 metres.

“The two-year contract duration for Sapura Esmeralda commences immediately on August 2, 2022,” it said of the vessel to be used under the contract.

According to the group, the award strengthens Sapura Energy’s presence in Brazil, signifying its ability to create strong partnerships and deliver value to clients.

Its engineering and construction segment operates six pipe laying support vessels (PLSVs) in Brazil, with a utilisation rate of about 95%.

Shares in Sapura Energy closed half a sen or 12.5% higher at 4.5 sen, giving it a market capitalisation of RM719.06 million.