Bintai Kinden has partnered with Marafie Industrial Co. (Marafie) to supply piping materials to oil and gas (O&G) related companies in Saudi Arabia.
Bintai Energy, The subsidiary of Bintai Kinden, namely Bintai Energy has entered into a Marketing and Distribution Agreement with Marafie to formalise the collaboration.
Marafie provides total solution to complicated fabrication projects, from the sales and bidding of the project, to construction engineering, scheduling, quality assurance, logistics, and follow-up with the customer. The Group has established fabrication facilities and offices and regional sales offices in Saudi Arabia.
Under the said agreement, Marafie will act as a representative of Bintai Energy to engage in Oil and gas development in the region of Saudi Arabia. The agreement is for a three-year period and subject to further extension of time upon mutual agreement by Bintai Energy and Marafie, unless termination notice in writing is given by either party 60 days prior to the termination.
Bintai Energy is a 51:49 joint venture between Bintai Kinden’s wholly owned subsidiary, Kejuruteraan Bintai Kindenko Sdn Bhd and PFF. It is the Special Purpose Vehicle identified to supply materials and equipment to the local and international
O&G industry including the Middle East via the distributorship channel of PFF.
“The Company foresees the demand for piping materials and equipment related to O&G industry to escalate in tandem with the recovery in the global O&G market,” Encik Azri Azerai, Executive Director of Bintai Kinden said.
“We are optimistic with the collaboration with Bintai Energy. The Company is current working to get a few contracts in Saudi Arabia,” Eng. Abdullah Bayounis, Chairman of Marafie said:
In its official statement, it says that “the agreement is not expected to have any material effect on the issued and paid up share capital of Bintai Kinden but is expected to contribute positively towards the future earnings of the Group.”
