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Orogenic Eyes European Markets [28-10-2008]

By Hamisah Hamid
THE Orogenic group of companies, an exploration and production geo-solution specialist for the oil and gas industry, expects revenue to increase by 30 per cent to RM156 million next year with its expansion to Europe.
   Orogenic Holdings Sdn Bhd executive chairman Ziyad Elias said the group which has projects in Southeast Asia, the Middle East, India, Turkmenistan, China, South Korea and the UK, will expand to Europe and western Africa next year.
   “Our revenue for this year is about RM120 million, of which 40 per cent is contributedfrom activities in Malaysia and the remaining 60- per cent from international oilfields, mostly from Southeast Asia.
   “We expect international activities, especially from Europe, to contribute 70 per cent to next year’s revenue,” Ziyad told a news conference after the signing of a loan agreement with Bank Pembangunan (M) Bhd in Kuala Lumpur yesterday.
   Deputy International Trade and Industry Minister Datuk Ahmad Husni Hanadzlah witnessed the signing of the Bai Bithaman Ajil loan facility between Bank Pembangunan and Orogenic’s Subsidiary, Ageo Marine Sdn Bhd, for the purchase of a purpose-built vessel for geotechnical works and surveys.
   Ziyad said the total cost of the vessel, marine drill rig, geotechnical equipment and survey equipment to be installed onboard is over RM30 million.
   When the vessel is completed in May 2008, it will be used to carry out geotechnical works and surveys not only in Malaysia but also in other countries such as Indonesia, Thailand, Vietnam, Cambodia, Myanmar and India,” he said.
   The group plans to spend RM30 million to acquire another vessels with 2D survey equipment for its subsidiary, Orogenic GeoExpro Sdn Bhd, by the end of next year.
   AGEO Marine and Asian Geos Sdn Bhd Managing Director Dr. Mohd Helmi Zulkawi said Asian Geos, which specializes in off-shore geotechnical investigation, anticipates RM50 million revenue next year from this year’s RM42 million.
   “Our book order is about RM40 million for the next two years. We are currently bidding for projects worth RM60 million,” he said.
   Meanwhile, Bank Pembangunan vice-president (group services), Aladdin Mohamed Lip, said the bank expects to approve RM900 million loans for the maritime sector.

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