Malaysia Marine and Heavy Engineering Sdn Bhd (MMHE), a subsidiary of Malaysia Marine and Heavy Engineering Holdings Berhad (MHB), and Eastern Pacific Industrial Corporation Berhad (EPIC) have executed a joint venture (JV) agreement to establish a JV Company known as MMHE EPIC Marine & Services Sdn Bhd.
The principal objective of the JV Company is to provide world-class repair services of marine vessels which include dry docking repair, refit, refurbishment, maintenance and technical solutions at the ship repair facilities located in Kemaman, Terengganu. MMHE is the majority shareholder with 70% shares and EPIC with 30% shares in the JV Company.
Image courtesy: MHB
Fully leveraging on the strength of both companies, the JV has the combination of MMHE’s existing expertise in marine and oil & gas services and EPIC’s integrated facilities in Kemaman. MMHE has the capability in ship repairs, dry docking upgrading, conversions, modifications and other shipyard-related business activities and able to provide full engineering, procurement, construction, installation and commissioning (“EPCIC”) for the offshore oil & gas industry. Meanwhile, EPIC is in the business of service and facilities provider for the marine and oil & gas industries, comprising of an integrated customs bonded supply base, fabrication, threading, shut-down and maintenance services.
To support the JV Company’s business, MMHE and EPIC have acquired a floating dock from Yeisu Ocean Co Ltd, South Korea, which was completed on 19 July 2016. The approximate 5,000 tonne floating dock has been delivered to Kemaman on 30 July 2016.
MMHE’s Acting Chief Executive Officer, Cik Wan Mashitah Wan Abdullah Sani said, “MMHE EPIC Marine & Services Sdn Bhd has the competency and capabilities to deliver solutions – dry docking repair services within target cost and schedule; while maintaining the highest performance in safety, quality and ethics. Equipped with the proven track record of both EPIC and MMHE, the JV Company aspires to become a major player in the marine repair and services industry.”
Cik Wan Mashitah added, “Recognising the needs of the ship-owners operating in the East Coast of Malaysia to have better access to repair and dry docking services nearer to their operations base, we believe the JV Company is able to offer an attractive value proposition that will optimise ship owners and operators’ vessel availability and reduction in operations’ cost due to the strategic location of the facilities in Kemaman.”
En Noor Fadzil Mohamed Nor, Group Managing Director and Chief Executive Officer of EPIC said, “This is EPIC’s first Joint Venture agreement since its establishment 35 years ago. We feel honoured to collaborate with MMHE and hope for this networking to continuously spread, possibly to a global scale, particularly in terms of investment in oil and gas sector.”
En Noor Fadzil added, “Being a State-linked company, this Joint Venture agreement with MMHE can also be seen as part of the State’s sub-projects, in order to spearhead the oil and gas industrial sectors to grow stronger, and further contribute to the state’s economic sector.”
Source: MHB