Ramunia looks at overseas markets for steady income.
The Star
11 January 2005

RAMUNIA Holding Bhd, which is taking over the listing status of Sabah Shipyard Bhd, is looking at overseas markets and diversification to ensure a steady income stream.

The company, which is involved in the fabrication of heavy steel structures in the oil and gas industry, is bidding for two projects in Indonesia, Managing Director Arshad Ahmad said in an interview.

The results would be known by the second quarter of this year, he added.

Arshad said Ramunia, which was now concentrated in Malaysia, had an order book valued at about RM120 mil, which would last until June.

Ramunia is regarded as one of the top three fabricators of offshore platforms in the country.

Arshad believes that there would still be "jobs coming over next few years" to keep the seven players licensed by Petroliam Nasional Bhd busy as the entry of new players had also been frozen.

The fabrication market had been estimated at about RM500 mil annually for past two years, he said.

"Malaysia is busy with new developments. In the next few years, there will be a lot more developments by the oil majors," he added.

As for diversification, he said Ramunia was turning its yards at Teluk Ramunia in Pengerang, Johor into a marine base for ocean-going vessels.

Arshad said towards the second half of this year, the company expected some business from marine services as well.

Ramunia has two yards covering 36ha in Teluk Ramunia.

Arshad said Ramunia was also talking to an international party to form a partnership to undertake offshore structures installation and pipe laying.

He said the company was also looking at going into manufacturing and was already talking to a few parties to manufacture large equipment for the oil and gas industry, using its yards and facilities to undertake the activities.

Bernama.