Kuala Lumpur: Perdana Petroleum is to charter five workbarges and a workboat to fellow Malaysian outfit and major shareholder Dayang Enterprise for five years with an optional extra year starting from this July.
The charter relates to the contract for the provision of hook-up, commissioning and topside maintenance services awarded by Shell to Dayang Enterprise. The estimated contract value for the charter is estimated at approximately RM705m.
As Dayang Enterprise is a major shareholder of the Perdana Petroleum, the charter is deemed a recurrent related party transaction (RRPT).
“The above RRPT will be carried out on arm’s length basis and on normal commercial terms which are not more favourable to the related party,” Perdana Petroleum stressed in a release to the Kuala Lumpur Stock Exchange.
The charter is in line with the company’s move to accept more long term charters over deals that last less than 12 months. [23/05/13]
