Eyeing more job for oil & gas-Muhibbah

SHAH ALAM, Sept 19 (Bernama) -- Integrated construction and engineering specialist Muhibbah Engineering Bhd's ship and marine division is looking into doing more fabrication jobs for the oil and gas sector.Managing director Mac Ngan Boon said the company had invested RM50 million to expand its shipyard in Teluk Gong, Banting, Selangor, into a fabrication facility and for the purchase of land."We hope that in five years, the expansion will contribute to a turnover of another RM300 million annually to the ship and marine division," he told reporters after the company's extraordinary general meeting (EGM) here Wednesday.Currently, the company is engaged in fabricating steel jacket for a project in Yemen. The division's order book stood at RM530 million, which will keep it busy until 2010."We are actively pursuing more works from oil and gas fabrication sector. We foresee that in the next two years this will start contributing to the group's bottomline," he said.He said an increased demand for cranes is also expected to benefit its crane unit, Favelle Favco Bhd.Consumption of energy has increased and most of the countries are upgrading their facilities particularly China and Russia, he said.Favelle Favco has an orderbook of RM570 million currently.Mac said the company was also pursuing projects worth RM10-11 billion mostly in overseas."We have identified the projects that we want to do, the clients that we want to work with and the countries that we want to go," he said, noting that some projects were related to oil and gas but they were mostly infrastructure.He said the company was also in the early stages of entering the Russian construction industry and was using its office in Germany to spearhead its business there."Northern Europe is interesting to look at," he added.Updating on its airport concession in the Sihanoukville Airport being built in Cambodia, he said it was on track to turn the airport into a fully international airport by 2011.The company has completed the first and second phase of the airport which has received flights from Bangkok and Ho Chi Minh.Muhibbah has 30 percent stake in the project while the remainder is held by Societe Concessionaire De L'Airport.The total group order is RM3.4 billion, Mac said.