Bursa Announcements
INTRODUCTIONThe Board of Directors of Muhibbah Engineering (M) Bhd ("Muhibbah") is pleased to announce that its wholly owned shipyard, Muhibbah Marine Engineering Sdn Bhd ("MME"), has received repetitive contract orders from Jasa Merin (Malaysia) Sdn Bhd ("JMM") for the construction of additional two (2) units of Anchor Handling Tug Supply Vessel ("Vessels") for a total contract sum of approximately RM245.0 million (collectively known as " the Contract").These Vessels will be chartered by JMM to oil majors to support the offshore oil & gas exploration and production activities in this region.DURATION OF CONTRACT These Vessels are expected to be delivered in 2012. DIRECTORS' AND MAJOR SHAREHOLDERS' INTERESTS None of the Directors or major shareholders or persons connected to the Directors or major shareholders of Muhibbah has any direct or indirect interest in the Contract. FINANCIAL EFFECTSThe Contract is expected to contribute positively to the earnings and net assets of MME and Muhibbah group for the financial year ending 31 December 2008 and the future financial years. The Contract does not have any impact on the share capital and shareholding structure of Muhibbah. DIRECTORS' STATEMENT The Board of Directors of Muhibbah is of the opinion that the acceptance of the Contract is in the best interest of Muhibbah group. This announcement is dated 16 July 2008.
