Petronas suspends licence

PETALING JAYA: Barakah Offshore Petroleum Bhd’s unit has been notified of its licence suspension by Petroliam Nasional Bhd (Petronas) over the non-performance of a contract.

According to a Bursa Malaysia filing yesterday, Barakah said its unit – PBJV Group Sdn Bhd – had been notified of the suspension of its licence.

“The letter from Petronas indicated that there was an adverse report from Petronas Carigali Sdn Bhd (PCSB) pertaining to the non-performance of PBJV in relation to the contract relating to the provision of underwater services for PCSB.

“As a result, Petronas has decided to suspend PBJV’s licence for a period of three years with effect from the date of the letter,” it said in the statement.

Barakah said it would to seek a clarification from Petronas and appeal against the suspension.

Following the suspension, Petronas, its subsidiaries and petroleum arrangement contractors (PACs) will not be awarding any new contracts to PBJV during the suspension period.

Concurrently, PBJV will not be allowed to bid for new projects undertaken by Petronas, including its subsidiaries and any PACs during the suspension period.

However, PBJV will still be allowed to continue and complete its existing and ongoing contracts with Petronas, including its subsidiaries and PACs, in accordance to the terms and conditions of the respective existing and ongoing contracts.

Barakah closed 9.09% higher at six sen, traded on a volume of 145.54 million shares.

Source: TheStar