Handal Resources Bhd will jointly collaborated with Petroliam Nasional Bhd’s (Petronas) research and development arm for the development of a subsea technology solution over a two month period.
The contract by Petronas Research Sdn Bhd was secured via its 51%-owned unit Handal Simflexi Sdn Bhd (HSSB) and is for a fixed period from June 13 to August 12 this year.
In an exchange filing yesterday, the integrated crane service provider noted the rate to be charged for services rendered by HSSB will be in line with the payment terms and conditions as set out in the term sheet agreement reached between Petronas and HSSB.
The scope of the works are in accordance to that stated in the letter of award and term sheet agreement.
Handal Resources said the award is expected to contribute positively towards its earnings and net assets over the two month contract period, while risks include availability of skilled manpower and materials as well as changes in prices of materials.