Carimin Petroleum diversifying into construction

PETALING JAYA: Oil and gas services provider Carimin Petroleum Bhd is diversifying into the construction business with the completion of its acquisition of a 60% stake in Noblecorp Builders Sdn Bhd, now known as Carimin Bina Sdn Bhd, for RM838,000 in July.
In a filing with Bursa Malaysia, Carimin Petroleum said as Carimin Bina, which is involved in general civil contracting and geotechnical work, could secure more contracts and may contribute more than 25% of the group’s net profit in the future, it has to seek approval from shareholder for the proposed diversification at an EGM to be held later.
Carimin Petroleum explained that the venture into the construction business is to mitigate the dependency on the uncertain oil and gas segment, which has resulted in lower earnings for the group.
“The board believes that the proposed diversification is complementary with the group’s core competency as the pool of staff including managing director Mokhtar Hashim, who has the necessary experience for construction operations and management,” it said.