Oiltek International Limited has secured new contracts worth a total of RM52.5 million from Colombia and Malaysia.

Mr Henry Yong Khai Weng, Executive Director and CEO of Oiltek, said, “This contract from Colombia demonstrates Oiltek’s comprehensive engineering capabilities and global presence as one of the leading engineering companies in our industry. I am delighted to note that we are able to secure RM312.5 million worth of new contracts this year, which will further boost our project pipeline and growth as a Group.”

One contract involves the design, fabrication, delivery, testing and commissioning of one new 400 metric tonnes per day (“MTD”) physical refinery plant, one new 400MTD dry fractionation plant, one new 5 tonnes per hour (“TPH”) shortening plant and one new 3TPH laundry soap plant in relation to a proposed development of a new integrated edible oil refinery complex in Colombia. The other contract involves the retrofit of an existing palm oil mill effluent (“POME”) washing plant to 500MTD in Malaysia.

Inclusive of these new contracts, the cumulative value of new contracts secured to date in FY2023 amounts to RM312.5 million, an increase of 59.4% from FY2022. The contracts secured to date bring Oiltek’s current order book to RM390.6 million, to be fulfilled over the next 18 to 24 months.

The contract in Colombia adds to Oiltek’s growing presence in the Americas, having executed projects in Brazil, Costa Rica, Guatemala, Honduras, Mexico, Nicaragua, and Venezuela. Based on 2021 data, Colombia is the largest producer of palm oil in the Americas and the fourth largest supplier of palm oil in the world.

Oiltek’s share price as of 6 December 2023 after market close was S$0.215.

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.

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