KUALA LUMPUR: Oil and gas (O&G) services provider Uzma Bhd targets to expand its three core upstream services beyond Malaysian shores by next year, focusing on Philippines, Thailand, Indonesia and Brunei.
Group managing director and chief executive officer Datuk Kamarul Redzuan Muhamed said the group will focus on subsurface solutions, integrated wells solutions (IWS) and production solutions (PS) for the expansion plan.
"These three cumulative services comes under our core upstream services and in expanding geographically, we are putting forth our upstream services in these new markets," Kamarul told reporters after the group’s annual general meeting here today.
The group is also actively bidding for more jobs under two other services business - namely new energy, and decommissioning and efficient late-life asset.
"In the area of new energy, we have setup a dedicated team, and we are implementing strategic plans to enable growth for this business segment.
"We have partnered with a renewable energy (RE) partner to bid for the third cycle of the large-scale solar scheme (LSS3) in Malaysia," he said, adding that the LSS3 venture by the group is aimed to earn sustained recurring income for the next 20 years.
The company is also looking at bidding for the government’s large scale solar fourth cycle project (LSS4) and supply of net energy metering (NEM) equipment.
Under the NEM, energy produced from the solar PV system installed will be consumed first, and any excess to be exported and sold to the distribution licensee (such as Tenaga Nasional Bhd or Sabah Electricity Sdn Bhd) at the prevailing Displaced Cost prescribed by the Energy Commission Malaysia.
Kamarul said the NEM is an untapped market and the company will aggressively pursue in bidding for this business segment.
Uzma currently has RM1.4 billion balance order book supported by several umbrella projects in hand that has stable profit margins above 30 per cent at a gross level.
"We remain confident and focused on the execution of our strategic plans and steer our company on a sustainable growth trajectory within the medium to long-term future," Kamarul said.