Steel Hawk bags system maintenance contracts from Petronas Carigali

KUALA LUMPUR (March 14): LEAP Market-listed Steel Hawk Bhd has secured two contracts from Petronas Carigali Sdn Bhd to provide pig trap system maintenance for a tenure of one year, with an additional one-year extension option.

Steel Hawk said its wholly owned subsidiary Steel Hawk Engineering Sdn Bhd obtained the contracts from Petronas Carigali, the wholly owned exploration arm of Petroliam Nasional Bhd (Petronas), on Feb 27.

“The contracts are on a call-out basis (which does not have a fixed contract value) and we are engaged by Petronas Carigali to provide specified services for the duration of the said contracts, as and when such services are required," Steel Hawk said in a Bursa Malaysia filing.

The company said the contracts are expected to contribute positively to its earnings for the financial year ending Dec 31, 2023 (FY2023).

For FY2022, Steel Hawk posted a 179.33% jump in net profit to RM5.81 million, from RM2.08 million a year earlier.

Revenue rose 166.96% to RM66.33 million from RM24.85 million on the back of higher revenue from its engineering, procurement, construction and commissioning (EPCC) segment mainly due to new work orders. It declared an interim dividend of 0.55 sen per share for FY2022.

According to its website, Steel Hawk provides installation, maintenance and supply services of oilfield equipment, as well as EPCC services for chemical injection skids and improvement and maintenance of topside oil and gas facilities.

Shares in Steel Hawk were last traded at 75 sen on Nov 23, giving the company a market capitalisation of RM120 million.