Coastal Contracts announced that the joint venture company in Mexico, Coastoil Dynamic S.A. De C.V. has recently signed an addendum to the Contract with Petroleos Mexicanos (“Pemex”), Mexican state-owned petroleum company with an increase value to MXN2.78 billion.
The group said under the addendum, Pemex has agreed to extend the gas sweetening services contract up to 31 December 2025. Consequently, the maximum contract value has increased to MXN2.78 billion representing an increase of MXN1.14 billion which is equivalent to approximately RM318.9 million.
Coastal said it expects the contract to contribute positively to the earnings and net assets for the financial years ending 31 December 2024 and 31 December 2025.
