Apeiron Bioenergy closes equity investment from Mitsui Chemicals, poised to capture exponential growth in bioenergy market with Pan-Asian presence

SINGAPORE, Aug 31, 2022 – (ACN Newswire) – Apeiron Bioenergy has successfully closed an equity financing round from Mitsui Chemicals. The funds will support Apeiron to increase its collection capacity for waste-based feedstocks across Asian markets and position the company for exponential growth amidst growing demand for renewable feedstock for advanced biofuels such as sustainable aviation fuel (SAF).

From left: Chris Chen, Managing Director, Apeiron Bioenergy; Tadashi Yoshino, Representative Director, Mitsui Chemicals

According to the International Energy Agency , global demand for renewable diesel is set to more than double, or by 11 billion litres, over the next five years. The demand mainly stems from government regulations in the US and the EU as established in the decarbonisation targets by COP26. However, the planned capacity is set to outpace domestic feedstock supply significantly, and production must keep up with the climate emergency – where will the additional feedstock come from?

A leading integrated player and solutions provider in the bioenergy space, Apeiron Bioenergy, collects and processes a range of renewable feedstocks including used cooking oil (UCO) and palm oil mill effluent (POME) acts as a critical exporter across an ever-expanding Asian market. Over the past 15 years, Apeiron Bioenergy has built its presence in over 10 countries and collected more than 500 million litres of UCO between 2017-2021, offsetting an estimated 1.5 million tonnes of carbon emissions.

"Zero Carbon emissions is one of our strategic targets by 2050. As one of Japan's leading chemical companies, our investment in Apeiron is our way of contributing to solving the world's future environmental issues," said Tadashi Yoshino, Representative Director, Managing Executive Officer, Mitsui Chemicals. "Apeiron Bioenergy has a proven track record of aggregating renewable feedstock and streamlining the supply chain across Asia. We are delighted to invest in the company as it aligns with our sustainability goals."

Apeiron Bioenergy's access to diversified sources and networks of feedstock and relationships with downstream customers means it is in an excellent position to access and supply downstream by-products for Mitsui Chemicals to help achieve its net zero targets.

With Mitsui Chemicals serving as a strategic investor, Apeiron Bioenergy will be well-positioned to meet the substantial rise in demand for biofuels by ramping up its capacity of collection points and processing facilities through both organic and inorganic growth. The company is actively seeking to acquire or collaborate with local collectors of sustainable feedstocks in the Asian markets.

"Tackling supply chain issues in Bioenergy across Asia requires a community-focused, collaborative approach – our seasoned management team has proven that we can resolve supply chain inefficiencies with our multicultural and multi-jurisdictional strategy," said Chris Chen, Managing Director of Apeiron Bioenergy. "We will be ramping up our collection capability, collaborating closely with our downstream partners to resolve the wider sustainability problem of reducing carbon emissions across the land, sea and air transportation spaces."

For all media queries, please contact:
Chi-an Chang
Financial PR
T: +65-6438-2990
E: chi-an@financialpr.com.sg

Copyright 2022 ACN Newswire. All rights reserved. http://www.acnnewswire.com

China Bluechem Sees Record-High Interim Profit From Recurring Operation Since 2013

HONG KONG, Aug 26, 2022 – (ACN Newswire) – China BlueChemical Ltd. ("China BlueChem" or the "Company," stock code: 3983), the largest state-owned chemical fertiliser producer and the leading methanol producer in China, announced its unaudited interim results for the six months ended 30 June 2022.

Financial Highlights (Unaudited):
For the Six Months Ended 30 June
(RMB Million) 2022 2021 Change
Revenue 7,371 6,110 +20.6%
Gross Profit 1,408 1,285 +9.6%
Net Profit Attributable to Owners of the Company 937 1,246 -24.8%
Net Profit Attributable to Owners of the Company (excluding a one-off item) 937 868 +8.0%
Basic Earnings per Share (RMB) 0.20 0.27 -25.9%

In the first half of the year, the Company realized a revenue of RMB 7,371 million, a surge of 20.6% over the corresponding period last year. Net profit attributable to owners of the Company amounted to RMB 937 million. In comparison with net profit attributable to owners of the Company after excluding a one-off item relating to Hualu Yangpoquan project for the first half of last year, which was RMB 868 million, the interim profit of this year is not only 8.0% higher than that of 2021, but also breaks the record of interim profits since 2013.

The Company consistently upholds the philosophy of green and sustainable development. In the first half of the year, the Company reduced 34 thousand tonnes of carbon emissions. It was the eleventh consecutive year that the Company had been awarded the Benchmark Enterprise of Leading Energy Efficiency in the Methanol Industry by China Petroleum and Chemical Industry Federation. Against the backdrop of "dual carbon" goals, the Company actively conducted research activities on the comprehensive utilisation of high carbon dioxide bearing natural gas and entered into a joint development agreement with BASF and Wuhuan Engineering, positioning itself as the first mover in the large-scale carbon dioxide utilisation.

Mr. HOU Xiaofeng, CEO and President of China BlueChem said, "In the first half of 2022, the Company implemented superb financial management without compromising social responsibility. It is encouraging that we reduced 34 thousand tonnes of carbon emissions and achieved a record high interim profit since 2013 after excluding the effect of one-off items in results in the comparison. As the largest state-owned chemical fertiliser producer and the leading methanol producer in China, China BlueChem firmly adheres to the principles of guarding against the pandemic, keeping the economy steady and achieving safe development. We have been fully boosting sales and marketing, enhancing production management, consistently controlling costs and raising efficiencies, and exploring price premium of our product brands."

In the production perspective, the Fudao Phase I and Fudao Phase II urea plants completed their respective annual plant overhauls as scheduled with the required quality. The Hainan Phase I and Hainan Phase II methanol plants recorded the highest output volume for the corresponding period in the recent 5 years. In the first half of 2022, the Company produced 909 thousand tonnes of urea, 773 thousand tonnes of methanol, 522 thousand tonnes of phosphate fertilisers and compound fertilisers, and 5 thousand tonnes of polyformaldehyde (POM).

With regards to sales and marketing, the Company rode on the rising trend in prices of chemical fertilisers and chemical products to become the market leader in terms of methanol price and fully reap the market through strategic pricing of chemical fertilisers. It also enhanced the quality and scale of the self-operated business to realise its contribution to the sales value of the Company. In the first half of 2022, the Company sold 949 thousand tonnes of urea, 722 thousand tonnes of methanol, 515 thousand tonnes of phosphate fertilisers and compound fertilisers, and 3,484 tonnes of POM. Under the Company's continued efforts in optimising the product portfolio, the sales volume of value-added products hit a record high, making a year-on-year increase of 73 thousand tonnes.

Regarding the progress of the Company's key projects, the construction and pre-production preparation works of the acrylonitrile project were smoothly underway and the milestone targets were essentially achieved. The Company has been actively working on the acquisition of Orient Petrochemical and made substantive progress on the transfer of equity interests in DYK Chemical and CNOOC Tianye.

As for the industry outlook in the latter half of the year, the domestic demand is traditionally low in the third quarter, so the domestic urea market may possibly face significant price mark-downs, whereas there is a possibility that the urea market may bottom out and rally in the fourth quarter, causing concerns on the supply of natural gas and the scale of off-season stockings. Given the reduction in prices of main raw materials, the supply of phosphate fertilisers is expected to loosen up in the domestic market, which will exert a greater pressure on the domestic sales, and the prices will thereby start to go down with fluctuations along with the costs. As for methanol, the excessive supply over demand will persist. Dampened by deteriorating macro views, the market is expected to be weaker and will experience rocky adjustments. The POM market is expected to see a more adequate supply and the key concern will be whether the downstream demand can be restored.

In respect of the Company's development in the latter half of the year, the Company will strictly implement prevention and control of normalised epidemic, and endeavour to achieve safe and stable operation for all production plants. It will strengthen the monitoring of equipment with potential dangers, reinforce the management, maintenance and overhauling of outdated equipment, and address bottleneck issues with consolidated technical skills. The Company will also further enhance its acumen in assessing the market, promote brand building and strive to gain a greater say in the market.

Looking to the future, Mr. HOU said, "China BlueChem has full confidence over its future. We will push the acrylonitrile project forward to ensure successful trial operation and get its production and sales well prepared. At the same time, we will speed up the construction of the petrochemical wharf with a throughput of 20 thousand tonnes in Xingang Zone of Basuo Port in Hainan Province. Furthermore, we will actively proceed with the acquisition of Orient Petrochemical, and complete the transfer of equity interests in DYK Chemical and CNOOC Tianye in a steady manner. Research activities on the technology of carbon-rich natural gas utilisation and the cooperation with BASF and Wuhuan Engineering will be accelerated, with the aim to facilitate the Company with more advanced technology of carbon fixation to promote green and low-carbon development."

Copyright 2022 ACN Newswire. All rights reserved. http://www.acnnewswire.com

Bintai Kinden Posts 152% Rise in Revenue for 1Q

PETALING JAYA, Malaysia, Aug 26, 2022 – (ACN Newswire) – Mechanical and electrical (M&E) engineering services specialist Bintai Kinden Corporation Berhad (Bursa: BINTAI, 6998) today announced that the Company registered a 152.0% increase in revenue to RM30.88 million for the first quarter ended 30 June 2022 (1Q FY2023) compared with RM12.26 million in the corresponding quarter of the previous financial year (1Q FY2022) mainly due to higher contribution from M&E engineering business.

En. Azri Azerai, Executive Director of Bintai Kinden

Bintai Kinden reported a profit after tax (PAT) of RM968,000 for the quarter under review, which is 23.0% lower than the PAT of RM1.25 million recorded in 1Q FY2022 as gross profit margin decreased to 16.45% from 30.0% after taking into account variation orders from completed M&E projects.

The Company's M&E engineering business contributed RM26.43 million for 1Q FY2023, which is an increase of 203.72% compared with RM8.7 million in 1Q FY2022. The concession business brought in RM3.6 million, a marginal increase compared with RM3.55 million. Bintai Kinden operates the entire in-campus accommodation for Universiti Melaka as part of a 25-year concession from Kolej Teknologi Islam Melaka Berhad (KTIMB). As of 31 March 2022, KTIMB owes Bintai Kinden an outstanding sum of RM30.18 million from the concession.

En. Azri Azerai, Executive Director of Bintai Kinden said, "We will continue to leverage on our core M&E engineering specialisation to seek opportunities in Malaysia and around the region. The surge in economic activities following the previous two years of intermittent lockdowns due to COVID-19 will definitely have positive spillover effects."

"Through our indirect subsidiary, Johnson Medical International Sdn Bhd, we have a niche as a turnkey solutions provider of mobile, modular and offsite engineered healthcare infrastructure that we intend to expand and in which our M&E engineering services can also benefit. Through our 51%-owned subsidiary, Bintai Energy Sdn Bhd, we have been busy exploring opportunities to distribute flanges and other related piping products, the latest of which is a business collaboration agreement with PT Raintech Indo Energi."

Bintai Energy has also recently been granted approval for a license by Petroliam Nasional Berhad under the Standardised Work and Equipment Categories Code, to bid for oil and gas (O&G) projects that come under Petronas. Bintai Kinden's orderbook covering M&E as well as O&G projects total RM120.43 million.

Bintai Kinden Corporation Berhad: 6998 [BURSA: BKC], http://bintai.com.my/

Copyright 2022 ACN Newswire. All rights reserved. http://www.acnnewswire.com

Bintai Kinden Appointed by South Korean Company to Market Piping and Fitting Products

PETALING JAYA, Malaysia, Aug 16, 2022 – (ACN Newswire) – Mechanical and electrical (M&E) engineering services specialist Bintai Kinden Corporation Berhad (Bursa: BINTAI, 6998) is pleased to announce that Bintai Energy Sdn Bhd has been appointed by World Standard Materials Co. Ltd. (WSM) to sell and market flanges, plates, tubes, pipe, coils and fittings for the chemical and petrochemical industries.

En. Azri Azerai, Executive Director of Bintai Kinden

Bintai Energy is 51% owned by Bintai Kinden through its wholly-owned subsidiary, Kejuruteraan Bintai Kindenko Sdn Bhd. WSM was founded in 1999 in Busan, South Korea. The company is involved in manufacturing and trading of industrial steel products. The company supplies to various industries internationally, including oil and Gas, power generation, shipbuilding, chemical and petrochemical industries.

As part of the appointment, WSM will work with Bintai Energy to seek opportunities as well as provide the necessary technical and competitive price support of the products while Bintai Energy will be responsible for the promotion of WSM's products. The collaboration is for a period of three years.

En. Azri Azerai, Executive Director of Bintai Kinden said, "The collaboration with WSM enables us to widen our product offerings to the chemical and petrochemical industries important for their role in the value-chain of other industries such as plastics and automotives as they supply the raw materials."

"We are delighted to have the opportunity to work with WSM, whose research and development efforts have been rewarded with quality flanges, pipes and fittings that are used in the chemical and petrochemical industries. We look forward to working together to grow the market for WSM's products in Malaysia."

Mr. Ahn Byung Hwan, President of WSM said, "We are looking forward to working with Bintai Energy to bring our products to the Malaysian market. We believe that together, both parties will be able to make inroads into the chemical and petrochemical industries."

Bintai Kinden Corporation Berhad: 6998 [BURSA: BKC], http://bintai.com.my/

Copyright 2022 ACN Newswire. All rights reserved. http://www.acnnewswire.com

Bintai Kinden to Market O&G Equipment in Indonesia

PETALING JAYA, Malaysia, Aug 10, 2022 – (ACN Newswire) – Mechanical and electrical (M&E) engineering services specialist Bintai Kinden Corporation Berhad's (Bursa: BINTAI, 6998) sub-subsidiary, Bintai Energy Sdn. Bhd., has entered into a business collaboration agreement with PT Raintech Indo Energi (PTRIE) in which PTRIE has been appointed to market and promote flanges, fittings, pipes and other oil and gas (O&G) equipment on behalf of Bintai Energy in Indonesia.

Azri Azerai, Executive Director of Bintai Kinden

Bintai Kinden owns a 51% stake in Bintai Energy through Kejuruteraan Bintai Kindenko Sdn Bhd, an M&E engineering services specialist. PTRIE provides integrated solutions with a focus on the upstream, midstream and downstream O&G industry as well as the marine, industrial, aviation, water and waste water, food and beverage and, healthcare industries.

Under the agreement, which is valid for three years, Bintai Energy will collaborate and work together with PTRIE to promote business opportunities and provide the necessary technical and competitive price support on the products to be represented by PTRIE, which will be responsible for the promotion of the products in Indonesia and advise Bintai Energy on market-related information on these products.

En. Azri Azerai, Executive Director of Bintai Kinden said, "The collaboration with PTRIE opens up vast opportunities for us as Indonesia is Southeast Asia's largest economy with a GDP of US$1.19 trillion as of 2021 and a population of 270 million. Its O&G industry is an important contributor to the economy and a key growth driver."

"We look forward to working together with PTRIE, whose founders are renowned experts in Indonesia's O&G industry, to seek opportunities that are beneficial to us both as Indonesia has set a target to ramp up crude oil and condensates production to 705,000 barrels a day."

Ms. Verra Christianty, Director of PTRIE said, "We are happy to collaborate with Bintai Energy to introduce these products to Indonesia. We are sure that, with their technical and pricing knowledge, both parties will be able to penetrate a vast market."

Bintai Energy was recently awarded additional sub-contracts to supply high-grade carbon steel/stainless steel piping, valves and piping accessories with a value of approximately RM4.43 million and has to-date clinched approximately RM9.0 million in sub-contracts.

Bintai Kinden Corporation Berhad: 6998 [BURSA: BKC], http://bintai.com.my/

Copyright 2022 ACN Newswire. All rights reserved. http://www.acnnewswire.com

Wintermar Offshore (WINS:JK) Reports 1H2022 Results

JAKARTA, Jul 29, 2022 – (ACN Newswire) – Wintermar Offshore Marine (WINS:JK) has announced results for 1H2022. Total revenue was up 25%YOY to US$25 million, helped by higher chartered vessels revenue. Revenues rebounded in 2Q2022 by 39%QOQ as several vessels commenced operations after delays in 1Q2022. All Divisions turned in positive gross profit for the 2nd quarter reflecting higher demand for OSVs.

Owned Vessel Division

After recording a loss for 1Q2022, gross profit for 2Q2022 rebounded to US$2.1 million on revenues of US$7.9 million, +19%QOQ. This reflects a higher utilization rate for Owned Vessels in 2Q2022 of 70% compared to only 61% in 1Q2022. Gross Profit from Owned Vessels turned around to US$0.8 million in 2Q2022 compared to a loss of US$0.58 million in 1Q2022.

The three high tier vessels purchased recently were still awaiting the arrival of dynamic positioning equipment for an upgrade of their DP capability before conducting their Sea Trial and to be ready to sail.

On a YOY basis, Owned Vessel Direct expenses were 2% higher YOY, largely from higher fuel expenses incurred in a one-off demobilization of a vessel returning from work in Africa, offset by an 8% lower depreciation charge due to vessel disposal YOY. Revenue from Owned Vessels declined by 13% YOY due mainly to disposal of 7 Vessels in 2021. Gross Profit from Owned Vessels for 1H2022 amounted to US0.2 million compared to a US$2.7 million in 1H2021.

Chartering and Other Services

For 1H2022, Chartering Revenue jumped 205% YOY to US$7.96 million compared to US$2.6 million in 1H2021, reflecting some contracts in Brunei. For 1H2022, Chartering Division contributed Gross Profit of US$0.9 million (+150% YOY), while other services gross profit was also up significantly at US$1.15 million (+417% YOY).

Total Gross Profit for 1H2022 was US$2.27 million which was 31% lower YOY as compared to 1H2021.

Indirect Expenses and Operating Profit

Total indirect expenses for 1H2022 were US$3.15 million, up 20% as compared to 1H2021 with salary reflecting the highest increase of 31%.

At the Operating level, the Company recorded a loss of US$0.88 million for 1H2022, compared to US$0.7 million profit in 1H2021.

Other Income, Expenses and Net Attributable profit

For 1H2022, Interest Expenses fell 39% YOY to US$0.74 million as the Group continues to reduce outstanding bank debt. At 30 June 2022, the Net Debt to Equity (Net Gearing) amounted to 13%. Share of Equity in Earnings of Associates totalled US$0.38 million.

The Net Loss Attributable to Shareholders for 1H2022 was US$1 million compared to a loss of US$0.5 million for 1H2021.

EBITDA for 1H2022 was 29% lower YOY at US$5.3 million.

Outlook for Oil and Gas exploration

With Brent oil prices staying high during the 2Q2022, activity in upstream oil continued to be firm. The International Energy Agency (IEA) in its June Oil Market Report projected that global oil demand will reach 103m b/d in 2023, while total global oil output is still constrained due to sanctions against Russia. Westwood Global Energy research is projecting a strong industry upcycle for offshore investments through 2026 if oil prices stay high.

Stronger demand for OSVs have been seen worldwide, as utilization rates are higher across all geographic areas. However, although charter rates were higher in the North Sea and Middle East, they have not risen much yet in Asia Pacific.

Outlook

The Company is looking to better utilization in 2H2022 when the recently acquired PSVs will be ready for operation. There have been more requests for quotation and several new tenders announced in Indonesia and the Asian region. Charter rates for OSVs in Asia are expected to rise after utilization rates pick up further next year.

Contracts on hand as at end June 2022 totalled US$62 million.

About Wintermar Offshore Marine Group

Wintermar Offshore Marine Group (WINS.JK), developed over nearly 50 years with a track record of quality that is both a source of pride and responsibility that we are dedicated to upholding, and sails a fleet of more than 48 Offshore Support Vessels ready for long term as well as spot charters. All vessels are operated by experienced Indonesian crew, tracked by satellite systems and monitored in real-time by shore-based Vessel Teams.

Wintermar is the first shipping company in Indonesia to be certified with an Integrated Management System by Lloyd's Register Quality Assurance, and is currently certified with ISO 9001:2015 (Quality), ISO14001:2015 (Environment) and OHSAS 18001:2007 (Occupational Health and Safety). For more information, please visit www.wintermar.com.

For further information, please contact:
Ms. Pek Swan Layanto, CFA
Investor Relations
PT Wintermar Offshore Marine Tbk
Tel: (62-21) 530 5201 Ext 401
Email: investor_relations@wintermar.com

Copyright 2022 ACN Newswire. All rights reserved. http://www.acnnewswire.com

Bintai Kinden JV Wins Contracts to Supply O&G-Related Equipment

PETALING JAYA, Malaysia, Jul 28, 2022 – (ACN Newswire) – Bintai Kinden Corporation Berhad (Bursa: BINTAI, 6998), a mechanical and electrical (M&E) engineering services specialist, is pleased to announce that Bintai Energy Sdn Bhd (Bintai Energy) has been awarded a series of additional sub-contracts by Petro Flanges & Fittings Sdn Bhd (PFF) to supply high-grade carbon steel/stainless steel piping, valves and piping accessories with a value of approximately RM4.43 million to companies in the oil and gas (O&G) industry.

Azri Azerai, Executive Director of Bintai Kinden

Bintai Kinden, through wholly-owned subsidiary Kejuruteraan Bintai Kindenko Sdn Bhd (KBK), has a 51% interest in Bintai Energy, with the other 49% interest held by PFF. KBK is a M&E engineering services specialist while PFF is a supplier of pipes, flanges, fittings, valves and other O&G-related equipment.

En. Azri Azerai, Executive Director of Bintai Kinden said, "These sub-contracts are a welcome addition to the stable of sub-contracts under KBK and we believe that the partnership we have with PFF through Bintai Energy is an effective platform from which both sides can leverage and benefit."

"The dynamic team at Bintai Kinden is continuously evolving and one area we are focusing on is the O&G industry where we are tapping into opportunities from rising activities in the industry. Under these sub-contracts, we are supplying equipment to various established companies with O&G-related businesses and activities. Bintai Energy has been awarded with similar contracts since its establishment in March 2022 and we hope to be able to win more such contracts given our expertise and knowledge."

With the most recent sub-contracts, Bintai Energy has clinched a total of approximately RM9.0 million under the Bintai Energy JV since its formation.

Bintai Kinden Corporation Berhad: 6998 [BURSA: BKC], http://bintai.com.my/

Copyright 2022 ACN Newswire. All rights reserved. http://www.acnnewswire.com

Wintermar Offshore (WINS:JK) Unveils Growth Strategy

JAKARTA, Jun 24, 2022 – (ACN Newswire) – Wintermar Offshore Marine (WINS:JK) has invested US$12 million to acquire 3 Platform Supply Vessels and 3 Anchor Handling Tug Supply Vessels since November 2021, to gear up for new drilling cycle.

In the Public Expose on 24 June 2022, PT Wintermar Offshore Marine Tbk unveiled their growth strategy to position the Company for an anticipated upturn in drilling. As the global rig count has risen steadily over the past few months, Offshore Supply Vessel (OSV) utilization has improved globally and charter rates have started to pick up.

To raise the yield of the fleet, the Company has improved the fleet composition through the sale and reinvestment of certain vessels. 95% of the fleet is now concentrated into higher value vessels. Wintermar now has seven Platform Supply Vessels, three of which are undergoing docking for reactivation and should be ready for operations by 2H2022. This is timed in anticipation of a stronger 2023 as there has been an increase in project approvals for offshore drilling and corresponding rise in demand for OSVs.

Finance Director Janto Lili reported that the Company has succeeded in controlling costs while continuing to repay debt. The Company turned around in 2021 with a net profit after tax of US$0.2 million following several years of net losses. Net gearing was reduced to 14.7% by end of March 2022.

Managing Director, Sugiman Layanto reiterated an optimistic view for the coming years, with OSV charter rates projected to rise. This is due to the demand for OSVs rising in line with the jump in offshore drilling projects, while the supply of operationally ready OSVs is still limited due to the industry downturn over the past years.

In the longer term investments in renewable energy are expected to grow while investments in oil and gas are still projected to be stable to meet the energy needs of the world. As an OSV operator, Wintermar will benefit from higher demand for vessels initially from oil and gas industry but in the coming years additional upside in demand is expected from the offshore wind industry.

For the future, Wintermar will focus on higher value vessels to improve fleet yields and continue to improve cost efficiency.

As at end of May 2022, the Company's Contracts on hand amounted to US$64 million.

About Wintermar Offshore Marine Group

Wintermar Offshore Marine Group (WINS.JK), developed over nearly 50 years with a track record of quality that is both a source of pride and responsibility that we are dedicated to upholding, and sails a fleet of more than 48 Offshore Support Vessels ready for long term as well as spot charters. All vessels are operated by experienced Indonesian crew, tracked by satellite systems and monitored in real-time by shore-based Vessel Teams.

Wintermar is the first shipping company in Indonesia to be certified with an Integrated Management System by Lloyd's Register Quality Assurance, and is currently certified with ISO 9001:2015 (Quality), ISO14001:2015 (Environment) and OHSAS 18001:2007 (Occupational Health and Safety). For more information, please visit www.wintermar.com.

For further information, please contact:
Ms. Pek Swan Layanto, CFA
Investor Relations
PT Wintermar Offshore Marine Tbk
Tel: (62-21) 530 5201 Ext 401
Email: investor_relations@wintermar.com

Copyright 2022 ACN Newswire. All rights reserved. http://www.acnnewswire.com

Wintermar Offshore Marine Reports 1Q2022 Results; Total revenue up 3%

JAKARTA, Apr 29, 2022 – (ACN Newswire) – Wintermar Offshore Marine (WINS:JK) has announced results for 1Q2022. Total revenue was up 3% YOY to US$10.5 million, with stronger chartering revenues compensating for a drop in Owned Vessel revenue from COVID-19 delays.

Oil prices spiked in 1Q2022 as a result of the war in Ukraine and sanctions against Russian oil and gas. The ensuing oil shortage sparked a rise in investment in oil exploration and a resurgence in drilling programs in Asia.

The Company was impacted quite severely by a spike in Omicron infections on the fleet, which led to prolonged delays in the commencement of operations in international as well as domestic charters in 1Q2022. Owned Vessel revenues declined but this was compensated by a jump in revenues from the Chartering and Other Services Divisions.

Owned Vessel Division

Several vessels were infected with COVID-19 in 1Q2022 and had to be quarantined. Emergency crew changes were arranged, but revenues were penalized due to the resulting delays while higher costs were incurred as vessels had been fully crewed in anticipation of on-hire. Crew salary was flat YOY at US$2.1million, operations and maintenance costs rising by 40%YOY and 23%YOY respectively in preparation for new contracts. Fuel was significantly higher at US$0.67 million due to the one-off cost of international mobilization and demobilization of vessels due to different locations for on- and off-hire. This led to a 21% YOY decline in Owned Vessel revenue to US$6.6 million, while direct costs rose by 10% YOY.

During the quarter, the Company purchased an additional 4 vessels, comprising one PSV, 2 units of 5,000 BHP AHTS and 1 unit of 6,000 BHP AHTS. Two of these vessels are being modified for reactivation while the other two are finishing off existing contracts and providing some charter income. As 4 of the 6 vessels acquired since 4Q2021 were undergoing docking and reactivation in 1Q2022, there are no revenues arising whereas costs have started to incur. All these reasons led to a gross loss of US$0.58 million from the Owned Vessel Division.

Chartering and Other Services

Gross Profit from Chartering jumped by 260% YOY to US$0.37 million with the addition of three new contracts in Brunei, while Other Services Division saw a 49% increase in gross profit to US$0.38 million.

Total Gross Profit for 1Q2022 was US$0.18 million compared to US$2.1 million in 1Q2021.

Indirect Expenses and Operating Profit

The biggest contribution to a rise in Indirect Expenses was a rise in staff salaries which increased by 47% due to the annual discretionary bonuses paid out in March, and an increase in staffing. The Company also readjusted salaries in 2021 to reverse most of the salary reductions volunteered by employees when the COVID-19 started in 2020. With the increase in indirect expenses, the Company recorded an Operating Loss of US$1.18 million.

Other Income, Expenses and Net Attributable profit

Interest expenses fell by 51% YOY to US$0.36 million in line with much lower gearing while the stronger Rupiah also resulted in an FX loss of US$0.03 million. Loss in earnings of associate amounted to US$0.07 million after recording a small profit in 1Q2021 while there was a tax penalty of US$0.15 million in a subsidiary.

Net loss attributable to shareholders for 1Q2022 was US$1.8 million compared to a loss of US$0.34 million in 1Q2021. EBITDA for the quarter was US$1.7 million from US$4.3 million in 1Q2021.

Outlook for Oil and Gas exploration

After the sharp spike, releases of strategic oil reserves by the US and downward revisions to 2022 oil demand arising from COVID-19 lockdowns in China have taken some pressure off oil prices. With Brent crude oil prices settling around the US$100/barrel mark, and sanctions against Russian oil, there is still a huge incentive for oil exploration. In Asia, there is stronger demand for oil services as new drilling projects have been announced. In Indonesia, Pertamina has announced a plan to drill 29 exploration wells and 813 development wells in 2022 while private oil companies are also planning drilling campaigns.

In 2021, global offshore investment in EPC (Exploration, procurement and construction) grew by 200% YOY to US$42 billion and with the Ukraine invasion, 2022 is expected to see further growth. Below is a chart from Westwood Global Energy projecting sustained higher levels of global offshore investment.

Strategy and Outlook

The Company embarked on a capital expenditure plan in 4Q2021 and to date has acquired a total of 6 vessels ranging from 5000BHP AHTS to Platform Supply Vessels. After docking and reactivation, these vessels will be ready for operations in mid 2Q2022, in time for an anticipated pick up in demand as drilling campaigns start by mid 2022.

In Asia, there are projects starting in Thailand, Malaysia, Brunei and India which require higher value support vessels. Charter rates are still constrained in Indonesia due to low budgets set last year, but some projects which were delayed are now expected to commence operations in the coming months. We are optimistic that the long awaited recovery in drilling is underway.

Contracts on hand as at the end March 2022 totalled US$64 million.

About Wintermar Offshore Marine Group

Wintermar Offshore Marine Group (WINS.JK), developed over nearly 50 years with a track record of quality that is both a source of pride and responsibility that we are dedicated to upholding, and sails a fleet of more than 48 Offshore Support Vessels ready for long term as well as spot charters. All vessels are operated by experienced Indonesian crew, tracked by satellite systems and monitored in real-time by shore-based Vessel Teams.

Wintermar is the first shipping company in Indonesia to be certified with an Integrated Management System by Lloyd's Register Quality Assurance, and is currently certified with ISO 9001:2015 (Quality), ISO14001:2015 (Environment) and OHSAS 18001:2007 (Occupational Health and Safety). For more information, please visit www.wintermar.com.

Ms. Pek Swan Layanto, CFA
Investor Relations
PT Wintermar Offshore Marine Tbk
T: (62-21) 530 5201 Ext 401
E: investor_relations@wintermar.com

DISCLAIMER
Certain statements made in this publication involve a number of risks and uncertainties that could cause actual results to differ materially from those projected. Certain statements relating to business and operations of PT Wintermar Offshore Marine Tbk and Subsidiaries (the Company) are based on management's expectations, estimates and projections. These statements are not guarantees of future performance and involve risks, uncertainties and assumptions that are difficult to predict. Therefore, actual outcomes and results may differ materially from what is expressed or forecasted in such statements. The information contained in this release is not intended to qualify, supplement or amend information disclosed under corporate and securities legislation of any jurisdiction applicable to the Company and should not be relied upon for the purpose of making investment decisions concerning any securities of the Company.

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Myanmar Government to Accelerate Energy Projects and Amid Power Shortages; Says Sanctions End Up Hurting Foreign Investors, Local Workers and Businesses More

NAY PYI TAW, MM, Apr 21, 2022 – (ACN Newswire) – The Myanmar Government will accelerate development of hydrocarbon and renewable energy even as it repairs power lines damaged by terrorists while seeking to increase foreign investments despite the threat of fresh economic sanctions, the Ministry of Information (MOI) and Ministry of Investment and Foreign Economic Relations (MIFER) announced today.

MOI Minister Mr Maung Maung Ohn and MIFER Minister Mr Aung Naing Oo issued the joint statement in response to recent media reports about energy shortages in the country and exits of some foreign energy companies, and fresh sanctions against Myanmar announced in recent months.

Addressing Energy Shortages in Myanmar

The recent temporary shortage of power was caused by a surge of global liquefied natural gas (LNG) prices, exacerbated by the Russia-Ukraine conflict, a weaker kyat currency as well as terrorist actions linked to the People's Defensive Force (PDF). Apart from advocating a boycott of utility payments since 2021, PDF terrorists blew up power lines from the Lawpita hydroelectric plant in Kayah State. These actions contributed to outages which caused hardship to ordinary citizens and small businesses in particular.

However, despite earlier civil unrest, the country has largely achieved national stability since the second half of 2021. Myanmar Government, under the direction of the State Administration Council (SAC) that was formed on 2 February 2021, is focusing efforts on various mitigating actions regarding the country's energy situation:

i) With the relative stabilization of global energy prices, the Government is seeking to increase use of natural gas for local power generation.

ii) The Government will step up repair of power infrastructure damaged by terrorists and increase security measures.

iii) It will accelerate power generation in the country from oil and gas sources through new investments, partnerships and actions such as conversion to use of existing facilities:

– the new Shwe Gas Pipeline was completed on 18 March 2022 and will generate about 330 MW of regular power.

– Conversion of some fertilizer plants (which use gas as feedstock) for immediate generation of 30 MW of electricity and accelerating works on other gas-fired power generators or waste-heat projects. A total of about 100 MW of electricity has been generated in Kyaukphyu using 20 million cubic feet of gas currently. After pipeline maintenance, this will expand to 30 million cubic feet per day and generate 195 MW.

iv) Major energy projects with China

As its largest neighbour and economic partner, China will play an increasingly important role in energy-related developments in Myanmar.

– With regard to the China-Myanmar pipeline project involving China National Petroleum Corporation (CNPC), the gas pipeline portion was completed at the end of 2013 and the oil pipeline portion was completed in April 2017. The project, which also includes a crude oil terminal, is CNPC's largest investment in Myanmar, and a centerpiece of China's Belt and Road Initiative in the country.

– 3 Chinese companies – Union Resources and Engineering Company (41%), Yunnan Energy Investment (39%) and Zhefu Holding Group (1%) – are partnering Myanmar's -Supreme Group (19%) to develop the 1,390MW Mee Lin Gyaing Project. This facility in Ayeyarwady region involves a LNG-fired power plant, a LNG terminal, a high voltage transmission line and gas pipelines to Yangon. It has been approved by the Myanmar Investment Commission. Currently in the early stages of design and construction, it is expected to start commercial operation in 2027.

Myanmar Government is also proposing to include this high-priority energy project – with an estimated investment value of USD 2.5 billion – in the list of early harvest projects of the China-Myanmar Economic Corridor (CMEC) to enhance bilateral cooperation so as to accelerate its progress.

v) Increase investments in renewable energy

– Solar Energy: More than half of the 40-MW Letpanhla and 30-MW Nyaungbin Gyi solar projects has been completed. To achieve national renewable energy goals, 13 solar power projects which will generate 370 MW have been launched.

While three more solar power projects which will generate 390-megawatt are also planned. Special efforts are being made to promote floating solar projects, rooftop solar projects, and small and medium-sized projects wherever possible.

Tenders are also being called for 18 solar power projects that can generate 635 MW. These are in addition to ongoing negotiations for 11 solar projects which will generate 300 MW that have been invited. Negotiations are underway to sign an agreement for one of them.

– Hydroelectric Power – With more than 60 hydropower dams, hydroelectricity is a key source of energy in the country. The Government is negotiating to purchase about 120 MW of electricity from the Tapin (1) hydropower project soon. The Government will emphasise proper environmental and social impact assessments before approval. Project designs must address such impact and communicate plans and benefits to the relevant communities in order to allay future concerns.

Myanmar plans to achieve national electrification by 2030 and generate 9% of electricity from renewable sources such as hydro and solar power.

Reported Exits of Foreign Oil and Gas Companies

The Ministers said the withdrawal by France's TotalEnergies from the Yadana field and a related gas transportation project will be effective on 20 July 2022. The former's 31.24% stake has been allocated proportionately to the remaining partners in the joint venture.

After the withdrawal of TotalEnergies, Thailand's PTTEP International Limited (PTTEPI) will hold 37.0842% participating interest while Unocal Myanmar Offshore Company Limited, a subsidiary of Chevron Corporation (Chevron) of the United States, will hold 41.1016%, the highest participating interest in the project. Since the first shipment in 1996 about 70% of production from this project, or about 768 million standard cubic feet per day currently, has been sold to Thailand with the rest designated for domestic power generation.

"As this is a change of ownership, operations are not affected. The Yadana field has the largest known Myanmar offshore hydrocarbon reserves. However, production there has declined since end-2021 following 20 years of post-plateau output. Production at this field to date has reached 85% of the recoverable reserves," the Ministers said. Total Energies is not seeking compensation for the withdrawal.

The Ministers said that while Chevron had stated it would exit investments from Myanmar, the Government has to date not received any formal notification from the company.

A third foreign energy company, Woodside Petroleum Ltd of Australia, has recently withdrawn from A6 Natural Gas Project in Rakhine State. Its stake has been taken over by its project partner the MPRL E&P Group of Companies. Operations are also not affected.

Myanmar's Energy Sector Remains Attractive

Despite being one of the world's oldest oil producers (exports started in 1853), Myanmar's upstream sector is still in its infancy due to sanctions, opaque regulatory policy and insufficient investment.

"Although, proven energy reserves are still relatively modest, unofficial estimates are extremely promising. Such fields with potential which are also in proximity to large demand centres in Thailand and China have attracted the interest of several major players. Hence, the Government continues to speed up its reform and has held a number of successful international bids for such hydrocarbon fields," the Ministers said.

Response to Fresh Economic Sanctions Against Myanmar

The Ministers said that external pressure and fresh economic sanctions by several Western countries in recent months may have raised concerns among some foreign investors.

"Economic sanctions may have more negative impact on private sectors than on the Government. Domestic and foreign businessmen and their enterprises, local workers, suppliers and consumers end up suffering the most.

Some sizeable projects that had been approved have commenced construction. Due to the economic sanctions, promoters of some of these projects are now facing obstacles in transferring foreign currency. This has affected progress of the projects.

Should these projects be terminated due to sanctions their investors must repay tax exemptions they enjoyed on top of project costs incurred. Otherwise, their investments will remain in the pending state. Hence, investors may end up leaving Myanmar not because of an unfavourable investment environment but because of external pressures.

Myanmar is committed to providing a secure, accessible and conducive investment environment. We do not wish to see investment withdrawals.

Although the international community publicly discourages economic cooperation with Myanmar, we continue to attract foreign investments. Many of our foreign partners choose to work quietly with us, away from the glare of external publicity, fully recognizing Myanmar's economic potential as well as its unique challenges," the Ministers said.

Energy Sector Remains Priority For Total Investments

The Ministers also gave an update on investments in Myanmar in the last 2 fiscal years. During fiscal 2020-2021 (12 months ended October) and fiscal 2021-2022 (interim budget of 6 months ended March) a total of 82 projects in 12 sectors with investments totaling USD 4.32 billion were approved (USD 3.79 billion in fiscal 2020-2021 and USD 530.775 million fiscal 2021-2022.)

Manufacturing accounted for most projects among 12 sectors in fiscal 2020-2021. However, the Power sector received substantially higher amount of total approved investment of USD 3.12 billion for 6 projects during this period, underscoring the attractiveness of the sector.

Foreign Investments

Most of the countries investing in Myanmar are Singapore, China, Hong Kong, Thailand and South Korea. In fiscal year 2020-2021, a total of 15 projects were from China, and 14 projects were from Singapore.

In 2021-2022 FY, there are 18 projects from China and 6 were from Hong Kong.

Domestic Investments

In the last 2 fiscal years, a total of 93 domestic investment projects (61 in fiscal 2020-2021 and 32 in fiscal 2021-2022) in 12 sectors valued at 2,248.7 billion kyat (1,171.8 billion kyat in fiscal 2020-2021 and 1,076.9 billion kyat in fiscal 2021-2022, respectively) were approved.

A total of 50 projects were from the Manufacturing sector, which is the leading domestic investment category, followed by the Services sector which recorded 14 approved projects while Hotel and Tourism sector was third with 11 projects.

Issued by Ministry of Information and Ministry of Investment and Foreign Economic Relations, Union Government of Myanmar.
For more information, please contact mediacontact@e-information.gov.mm or myintkyawmoi@gmail.com

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