Subsea plans to expand services overseas

Business & Markets 2013
Written by Bernama
Friday, 06 December 2013 21:06
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KUALA LUMPUR (Dec 6): Oil and gas services contractor, Subsea Explore
Services (M) Sdn Bhd, plans to expand its services overseas in the next three
years, said Executive Director, Azri Abas.
In the mean time, Azri said Subsea planned to strengthen its capabilities locally,
especially when the company has been selected to join Petroliam Nasional
Bhd's (Petronas) Vendor Development Programme (VDP) for five years.
"Now, we are still in the country. The contract value given by Petronas is about
RM200 million, under Petronas Carigali," he told reporters on the Petronas
VDP, here today.
Subsea has also been awarded a five-year contract worth RM500 million,
which would be executed next year, he said.
The company, founded in 2005, has grown significantly over the years, and
remains as an integrated support services provider for the offshore industries.
It started with a RM100,000 capital and has grown to RM4 million, to date.
Currently, the company has a shareholders' fund of RM10 million.
Its services include remotely-operated underwater vehicle (ROV) solutions,
survey solutions, non-destructive testing inspection services, as well as
engineering and consultation services.
"If we can handle ROVs by ourself, the costs can be reduced. The integrated
system process can also be handled by the locals," said Azri.
To date, Subsea has seven engineers working for the company, to build its own ROVs, he said.
During the tenure under the VDP, the vendors are awarded contracts by Petronas and/or its production-sharing contractors, through
single-source direct negotiation.
The contracts awarded are meant to be the base volume for the vendors to grow their business and "graduate" from the programme, after
a certain stipulated period.