KUALA LUMPUR (March 28): Uzma Bhd has signed a commercialisation agreement with Petroliam Nasional Bhd (Petronas) for the installation of non-metallic pipeline (NMP) technology — a solution that shifts pipelines from metal-based to non-metallic materials to minimise corrosion.
In a filing with Bursa Malaysia on Monday (March 28), the oil and gas contractor said it signed the agreement through its wholly-owned subsidiary Uzma Engineering Sdn Bhd (UESB) with Petronas’ technology commercialisation arm, Petronas Technology Ventures Sdn Bhd (PTVSB).
According to Uzma, the commercialisation agreement and its addendum was signed on Dec 17, 2021 and March 22, 2022 respectively.
Uzma added that PTVSB has granted UESB a licence for the purpose of commercialising the installation of NMP, which will allow the company to market and use the installation method developed by Petronas and its affiliates to install the pipes and use data and information in relation to qualified NMP as supplied by PTVSB and its affiliates.
The commercialisation agreement will be in force for a period of three years from the commencement date with the option to renew for another two years.
Uzma noted that the agreement is expected to contribute positively towards the earnings and net assets per share of the company for the financial year ending June 30, 2022 and onwards until the expiry of the contract.
“Uzma is delighted to sign the commercialisation agreement with Petronas, and it demonstrates our group’s commitment in developing new technologies.
“The group is ever ready with the challenges of meeting clients' needs and staying the course of the duration of the whole project which commenced in 2017,” said Uzma group chief executive officer (CEO) Datuk Kamarul Redzuan in a separate statement.
Meanwhile, PTVSB CEO Dr Mahpuzah Abai said teaming up with Uzma is a strategic way for Petronas to provide an innovative pipeline solution and installation in challenging and corrosive applications.
“While doing this together, both parties are driving research and development beyond conventional applications, embedding sustainability into all aspects of our business operations,” she added.
Uzma shares settled 1.09% or half a sen lower at 45.5 sen, bringing a market capitalisation of RM160.17 million.