Oiltek International Limited has secured additional contracts in Indonesia in December 2022, worth RM43.5 million. The new contracts bring the cumulative value of contracts secured in FY2022 to RM196.1 million.
With the new contracts, the Group’s current order book now amounts to RM236.0 million and is expected to be fulfilled over the next 18 to 24 months, barring any unforeseen circumstances.
Mr Henry Yong Khai Weng, Executive Director and CEO of Oiltek, said, “I am happy that we have closed FY2022 with more new contracts, bringing the value of new contracts secured in FY2022 to RM196.1 million. The fact that we are still able to secure projects despite a volatile and uncertain global economy, is a testament to the value we bring to our customers. With the strong growth of the global palm oil industry, we are able to utilise our deep engineering expertise to help our customers expand their production, which has enabled our strong growth momentum. As we move into 2023 and progressively execute our current order book of RM236.0 million, we aim to steadily maintain our growth with the acquisition of more projects in both the Edible & Non-Edible Oil Refinery and Renewable Energy segments.”
The new contracts involve the design, fabrication, supply, and commissioning of i) a new 1,000 metric tonnes per day (MTD) physical refinery plant; ii) a new 1,000MTD dry fractionation plant; and iii) a new downstream premium specialty animal feed product processing plant in Indonesia.
The new contracts are expected to contribute positively to the financial performance of the Group for FY2023.
Oiltek’s share price as of 3 January 2023 before market open was S$0.215.
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About Oiltek International Limited
Oiltek International Limited, an established integrated process technology and renewable energy solutions provider, specialises in the provision of reliable, innovative, diversified, and comprehensive range of refinery processes and engineering solutions for use across all different sectors of the vegetable oils industry value chain globally. The history of the Group can be traced back to its principal operating subsidiary, Oiltek Sdn. Bhd., which was incorporated in Malaysia on 1 December 1980. With over 42 years of track record, Oiltek has successfully designed, built and commercialised plants in more than 33 countries across 5 continents.
Oiltek operates three key businesses – Edible & Non-Edible Oil Refinery, Renewable Energy, and Product Sales and Trading.
For its Edible & Non-Edible Oil Refinery segment, the Group provides engineering, procurement, designing, construction and commissioning (“EPCC”) services for edible and non-edible oil refining plants, downstream specialty products and processing plants; upgrading and retrofitting of existing facilities; and turnkey outside-battery-limits (“OSBL”) infrastructure engineering.
For the Group’s Renewable Energy segment, Oiltek provides services for renewable energy industries including EPCC of multi-feedstock biodiesel, enzymatic biodiesel, winter fuel, and palm oil mill effluent (“POME”) biogas methane recovery plants; upgrading and retrofitting of existing facilities; and turnkey OSBL infrastructure engineering which includes the environmental solutions and integration into steam and power generation.
Oiltek’s Product Sales and Trading segment generates recurring income for the Group, and its services include engineering component sales, agency and distributorship, and specialty chemical product trading.
