Prestariang to hold 70% in Johor O&G school venture

by **Cals** Thu 27 Mar 2014, 18:32

Business & Markets 2014

Written by Chong Jin Hun of theedgemalaysia.com

Thursday, 27 March 2014 13:40

KUALA LUMPUR (Mar 27): Prestariang Bhd will hold a controlling 70% stake in a planned venture to set up an oil and gas school in Johor. The school will be known as the Petroleum Academy Malaysia.

In a statement to the exchange today, Prestariang said it had signed a memorandum of understanding (MOU) with YPJ Holdings Sdn Bhd, an investment arm of the Johor Education Foundation.

The MOU entails the formation of a joint-venture (JV) company by both parties for the purpose of setting-up, running and managing the academy to provide skills and up-skilling training in the oil and gas industry.

The academy will be opened to youths between the ages of 17 - 25 and those who are interested in attaining or expanding their knowledge and skills in the oil and gas industry.

Prestariang said the venture was to meet the expected demand for skilled workers throughout the nation and in particular for the Refinery and Petrochemicals Integrated Development (RAPID) in Pengerang, Johor.

YPJ Holdings will hold the remaining 30% in the JV firm.

According to Prestariang, the firm has been tasked to structure the courses to be offered in Petroleum Academy Malaysia.

Meanwhile, YPJ Holdings will lease its building to the JV company to undertake the academy's operations.

Prestariang said : "The MOU is part of the future plan of Prestariang to improve and benchmark its standard which would bring the effect of contributing positively to the future earnings, net assets per share and gearing of Prestariang group.

"Such collaboration will not have any effect on the share capital and substantial shareholders’ shareholding of Prestariang."