SCOMIMR ... Apr10

Shareholders of Scomi Marine Bhd today approved the proposed disposal of a 29.07 per cent stake in CH Offshore Ltd for total cash of about 143.5 million Singapore dollars or RM348.7 million. The proposed disposal would result in a net gain of RM63.6 million for the company, for the current financial year.

Scomi Marine's stake in CH Offshore, held by its wholly-owned subsidiary, Scomi Marines Services Pte Ltd, was sold to Falcon Energy Group Ltd.
In September 2005, the company paid 82 million Singapore dollars for its stake in CH Offshore.

The disposal would help lower its gearing from 0.6 times to 0.2 times.

Scomi Marine will continue with the renewal of its coal and offshore fleet as well as capacity, to enhance capabilities, to meet the current market demand. To date, the company has a current fleet of over 118 vessels which include utility vessels, tugs, barges and accommodations barges. The average fleet age of the Marine Logistics and Offshore Support Services vessels range from 11 to 17 years.

Meanwhile, Scomi Marine will participate in securing projects from Petronas in 2010, and is looking at opportunities in India within two years.

It will also participate if TNB calls for a tender for its coal-fired power plant in Manjung. TNB is undertaking studies to expand the generation capacity of its coal-fired power plant in Manjung, Perak.