Alam Maritim has been awarded by Petronas a RM49m subcontract works for the engineering, procurement, installation and related activities for the floating  liquefied  natural  gas  (FLNG)  offshore  works  –  mooring  system installation (package no 1). The contract duration is from 20 May 2015 until 15 September 2015. (Source: Bursa Malaysia)

Comments: We are positive on the announcement -  the FLNG subcontract is Alam's first major contract win this year and the short contract period of 4 months will enable Alam to bill the full contract revenue (and earnings) in 2015,  assuming  good  execution.  We  maintain  our  subsea  services  / offshore installation & construction contract wins assumption of RM150m, earnings forecasts and HOLD rating.

Source: Affin Hwang Capital Research - 12 Jun 2015