OceanMight’s leadership team along with Repsol and Petronas representatives pose for a photo in front of the loaded up Bunga Pakma topside and jacket structure which is due to sail by the end of this month. Present are Repsol PM2 asset manager Pablo Ortola Martinez (second left); Repsol country manager Jorge Milathianakis (fourth left); Rahman (fifth left); Kho (sixth left); KKB Group executive director Kho Pok Tong (seventh left); and Norazmi (ninth left).
KUCHING: OceanMight Sdn Bhd (OceanMight), the associate company of KKB Engineering Bhd (KKB) has officially wrapped up their second Engineering Procurement and Construction (EPC) project – The Bunga Pakma Wellhead riser project.
With its completion, the wellhead riser platform topside and jacket structures have been loaded out and are due to sail away at the end of August to undergo installation in the Bunga Pakma field, Block PM-3 within the shared Malaysia and Vietnam Zone.
Designed as a minimum gas facility to supplement a larger adjacent platform, the wellhead riser boasts a throughput capacity of 160MMscfd and is expected to see its first gas in May 2018.
According to OceanMight, who is also a Petroleum Nasional Bhd (Petronas) licensed major fabrication company, the project was awarded to their group back in May 2016 by Repsol Oil and Gas Malaysia Ltd (Repsol) and is the second EPC award that Repsol had entrusted to them.
The first EPC was the Kinabalu Redevelopment project which was awarded to OceanMight on July 2015 and completed on schedule on May 31, 2017.
The wellhead’s topside and jacket has since been installed within the Kinabalu field located 55km west-north of Labuan and is expected to see its first oil in the next two months.
With the completion of these two projects, OceanMight has achieved a combined total of two million manhours without any lost time Injury – 700,000 for Bunga Pakma and 1.3 million for Kinabalu Redevelopment.
In recognition of this achievement, Petronas has comended OceanMight’s continuous safety efforts for their two injury free EPC projects.
Speaking during a combined Health, Safety and Environment (HSE) day held at OceanMight’s fabrication yard here yesterday, its chairman Tan Sri Abd Rahman Mamat attributed the group’s success to support from its managerial and general staff as well as clients.
“Managing and sustaining safety is a continuous journey and one that demands commitment and convictions from all parties.
“Our success has been the result of full support and guidance received from our clients, the Petronas group of companies, Repsol, our subcontractors and suppliers not forgetting out own project team members.”
He went on to reveal that the group along with Repsol had designed several safety programmes that were implemented from the beginning of the projects and opined that the efforts had also played a crucial role in leading to their HSE achievement.
Also speaking at the event, Petronas head of project governance Tuan Norazmi Mat Nor said that the lower manhours without any lost time of injury achieved for the Bunga Pakma project was a clear sign that of tremdously improvement for OceanMight.
“OceanMight has proven to Petronas that they have improved tremendously. Especially in Bunga Pakma a similar sized project (to Kinabalu Redevelopment) that has been completed on time, on schedule and with no issues.”
Besides ensuring safety and efficiency at OceanMight, Rahman also declared that the company has been striving to match the aspirations of State Government in terms of having an increased involvement and participation of Sarawakian companies in the Oil and Gas (O&G) sectors in order to drive social and economic development.
He explained that the company had employed over a 1,000-strong workforce to carry out the two projects and have managed to ensure that around 80 per cent were Malaysians and local Sarawakians.
“We noted that the last two years that the multiplier effect or indirect spin off of these projects has witnessed an increase in economic activities within Demak Laut and its surrounding local areas, as most of our workforce reside nearby our yard locality.
“In this context, it is hoped that such economic activities can be sustained through the support and understanding of the various parties and active support from the state government Sarawak to ensure the economic well-being of the community be continued,” he added.
While, the completion of Bunga Pakma means OceanMight will have no more on-going projects, Rahman is hopeful that the company will continue to be considered for Petronas projects, especially ones with fields within Sarawakian waters.
In addition, Dato Kho Kak Beng, chief executive officer (CEO) and director of OceanMight revealed to The Borneo Post that the company is currently in the process of bidding for more projects and if successful, work at their fabrication yard is expected to commence once again by the end of the year.
“They are two rather large EPC projects and we will definitely be hiring back our workforce,” he said.
Meanwhile, its parent company, KKB is still maintaining a healthy orderbook as the group managed to secure close to RM1.0 billion worth of contracts last year.
The lion’s share of this comes from the RM1.29 billion Pan Borneo Highway package award to the KKB-WCT Bhd joint venture, where KKB has a 70 per cent stake in – translating to a contract value of RM900 million for KKB.
For this year, KKB has managed to score two more contracts with a total estimated value of RM100.7 million so far.
They are a contract from Boustead Petroleum Marketing Sdn Bhd for the supply and delivery of LPG cyclinders scheduled to be completed by 3Q17 and a contract from CMS Infra Trading Sdn Bhd (CMS Infra) for the supply of concrete-lined mild steel pipes and mechanical coupling to the Public Works Department in Tanah Puteh, Kuching.
The contract from CMS Infra was awarded to the group’s subsidiary Harum Bidang Sdn Bhd and slated to be completed by August 31, 2018.