PEC awarded $80 mil worth of new contracts
PEC Ltd, the group that provides integrated project and maintenance solutions to the energy, petrochemical, terminal and pharmaceutical industries, announced that it has secured $80 million worth of new contracts.
The contracts for engineering, procurement and construction (EPC) and mechanical works in various projects in the energy & chemicals and floating production storage and offloading (FPSO) sectors.
The latest orders include $50 million in contracts awarded to PEC’s wholly-owned subsidiary PEC Process Systems (PPS), to provide EPC and commissioning of oil, water and gas handling packages.
Incorporated in October last year, PPS is a key business unit under the group’s expansion strategy into the modular process solutions segment. In Singapore, PEC has been contracted to provide mechanical works for an integrated manufacturing complex.
Robert Dompeling, PEC’s CEO says, “The awards of these contracts despite the competitive operating conditions attest to our ability to deliver well on projects. We are also pleased with PPS’s progress to establish a good industry standing in the FPSO segment and in growing the group’s revenue and client base.”
“The Russia-Ukraine conflict has elevated the risk of supply interruption and sent energy prices soaring. Consequently, global energy prices will continue to reflect the ongoing tightness in supply and volatility. However, we are cautiously optimistic about prospects for projects works and maintenance in the energy, chemicals and storage terminals sectors over the medium term, and will continue to expand and deepen our capabilities in the ‘green’ value chain to capture a share of the potential pipeline of projects coming onstream”
The latest contracts are not expected to have any material impact to the group’s FY2022 ending June results.
Shares in PEC closed at 58 cents on May 19.