It is stepping up efforts to hedge against the possible loss of its water business. The company, which owns water treatment and distribution assets in Selangor, is understood to be close to securing a solid waster management contract in Cambodia .
An announcement pertaining to the award of the solid waste management contract could be made soon, after a few minor issuers are finalized with the Cambodian authorities.
Sources also say that Puncak Niaga, together with a foreign partner, is keen on developing marginal oil fields locally.
Apart from the Cambodian foray, Puncak Niaga has also been attracting attention as an oil and gas outfit.
Sources say that it has submitted a proposal to the Malaysian government seeking support for its bid to develop marginal oil fields and even brownfields. Considering that Puncak Niaga’s controlling shareholder Tan Sri Rozali Ismail is closely linked to UMNO, it is likely to receive support.
Puncak Niaga ventured into the oil and gas sector in May 2011, when its wholly owned unit Puncak Oil and Gas Sdn Bhd acquired 40% equity interest in Global Offshore Malaysia Sdn Bhd and KGL Ltd.
Rumors also said that water consolidation exercise whish was mooted in 2008 would take off soon, leaving the company without a core business, but cash rich from divesting its two main assets – wholly owned water treatment company Puncak Niaga Sdn Bhd and water distribution outfit SYABAS, in which Puncak has 70% equity interest.
SYABAS has the mandate to distribute treated water to KL, Selangor and the federal capital of Putrajaya.
Puncak Niaga has been in a bind as the company has been at loggerheads with the state, and is thus unable to enforce a tariff hike of 37% that was to have been imposed in Jan 2009. That state government has opposed the hike, stating that Rozali and Puncak had breached key terms of the concession agreement, and is thus unable to enforce a tariff hike of 37% that was to have been imposed in Jan 2009.
The state government has opposed the hike, stating that Rozali and Puncak had breached key terms of the concession agreement and has not lived up to non revenue water targets.
Puncak Niaga has been surviving largely as a result of soft loans offered to the company by the federal government, a situation that has understandably further irked that state.
Puncak Niaga was unaware of any rumors nor did it have any corporate developments that have not been announced with regard to the restructuring of the Selangor water industry. On 08 Feb 2012 Selangor MB Tan Sri Khalid said in a statement Bursa has yet to explain satisfactorily why P Niaga was given a waiver from being listed as a PN17 company. Also he that it would continue to push ahead for the restructuring of the water industry, claiming the water concessionaires will continue to fail the country. It said that Syabas should not be retained as the water services operator in the state.
An announcement pertaining to the award of the solid waste management contract could be made soon, after a few minor issuers are finalized with the Cambodian authorities.
Sources also say that Puncak Niaga, together with a foreign partner, is keen on developing marginal oil fields locally.
Apart from the Cambodian foray, Puncak Niaga has also been attracting attention as an oil and gas outfit.
Sources say that it has submitted a proposal to the Malaysian government seeking support for its bid to develop marginal oil fields and even brownfields. Considering that Puncak Niaga’s controlling shareholder Tan Sri Rozali Ismail is closely linked to UMNO, it is likely to receive support.
Puncak Niaga ventured into the oil and gas sector in May 2011, when its wholly owned unit Puncak Oil and Gas Sdn Bhd acquired 40% equity interest in Global Offshore Malaysia Sdn Bhd and KGL Ltd.
Rumors also said that water consolidation exercise whish was mooted in 2008 would take off soon, leaving the company without a core business, but cash rich from divesting its two main assets – wholly owned water treatment company Puncak Niaga Sdn Bhd and water distribution outfit SYABAS, in which Puncak has 70% equity interest.
SYABAS has the mandate to distribute treated water to KL, Selangor and the federal capital of Putrajaya.
Puncak Niaga has been in a bind as the company has been at loggerheads with the state, and is thus unable to enforce a tariff hike of 37% that was to have been imposed in Jan 2009. That state government has opposed the hike, stating that Rozali and Puncak had breached key terms of the concession agreement, and is thus unable to enforce a tariff hike of 37% that was to have been imposed in Jan 2009.
The state government has opposed the hike, stating that Rozali and Puncak had breached key terms of the concession agreement and has not lived up to non revenue water targets.
Puncak Niaga has been surviving largely as a result of soft loans offered to the company by the federal government, a situation that has understandably further irked that state.
Puncak Niaga was unaware of any rumors nor did it have any corporate developments that have not been announced with regard to the restructuring of the Selangor water industry. On 08 Feb 2012 Selangor MB Tan Sri Khalid said in a statement Bursa has yet to explain satisfactorily why P Niaga was given a waiver from being listed as a PN17 company. Also he that it would continue to push ahead for the restructuring of the water industry, claiming the water concessionaires will continue to fail the country. It said that Syabas should not be retained as the water services operator in the state.
No comments:
Post a Comment