KUALA LUMPUR (June 15): Wah Seong Corporation Bhd (WSC) is positive on its current financial year ending Dec 31, 2012 with its current order book of RM1.2 billion, comprising RM727 million from its oil and gas (O&G) segment, RM243 million from the renewable energy segment and RM182 million from the industrial trading and services segment.
Its managing director and group chief executive Chan Cheu Leong in a statement on Friday said the company was positive on its outlook due to the government’s strategy to intensify exploration activities in Malaysia to increase the oil and gas production as set out in the economic transformation programme (ETP).
Chan said the company would focus on gaining participation in the domestic O&G development.
“Our wholly-owned subsidiary, Wasco Energy Ltd and its group of companies (Wasco) would continue to seek business opportunities outside Malaysia,” he said.
“With the diverse and strong order book, WSC Group is strategically positioned to perform well in FY2012 and going forward,” he said.
He said the company also plans to boost its Renewable Energy business, as there was a significant demand for palm and agro-based industries globally.
He said that it had recently acquired up to 51% stake in Atama Resources Inc, which has concession rights to develop 470,000 hectares of oil palm plantation in the Republic of Congo, Africa.
“About 180,000 hectares have been identified as highly suitable for the cultivation of oil palm which will be carried out in 10 phases over 15-year period with planting scheduled to start during the second quarter of 2013, he said.
Chan said WSC would also place greater emphasis to accelerate the expansion of the Renewable Energy business in Indonesia and Latin America as well as the development of biomass power generation plants and palm oil mills on a turnkey basis in the Asean and Latin American regions in line with its strategy of developing recurring income.