KUALA LUMPUR: Tanjung Offshore Bhd and China's Yantai Jereh Group inked a collaboration agreement which will see them working closely to explore oil and gas opportunities in Malaysia.
The agreement will pave the way for Tanjung Offshore to explore potential activities and market Jereh's services in Malaysia while the latter will provide oil field equipment for projects awarded by Petroliam Nasional Bhd (Petronas).
Tanjung Offshore chief executive officer Muhammad Sabri Abd Ghani said Jereh's technology will improve its operating efficiency, lower cost and implement continuous technology enhancement.
"Jereh will contribute positively to the technology transfer as Tanjung Offshore learns from China's largest and best oil and gas producer.
"This is an example of a win-win partnership as the oil and gas industry consolidates in these challenging economic times," said Muhammad Sabri.
Jereh Group was listed on the Shenzen stock exchange in 2010 with a market capitalisation of US$6.8 billion.
In June, Tanjung Offshore secured RM250 million contract from Petronas Carigali Sdn Bhd for its Sarawak operations.
Leaders from the two countries have agreed to an annual bilateral trade target of US$160 billion (RM688 billion) by 2017.