PETALING JAYA: Barakah Offshore Petroleum Bhd’s wholly owned subsidiary Kota Laksamana 101 Ltd (KL101) has received a notice of termination, recall and demand from Export-Import Bank of Malaysia Bhd (EXIM Bank) for owing the bank US$43.59 million (RM183 million).
“EXIM Bank is now exercising its right to recall and/or terminate the facility agreements. An amount of US$43.59 million as at Oct 15, 2019 has been stated in the notice being total amount due and owing by KL101 to EXIM Bank,“ the Practice Note 17 (PN17) company said in a stock exchange filing.
The loan with EXIM Bank was taken for the financing of the pipe lay barge, Kota Laksamana 101. It was an Islamic facility (Ijarah).
“The company is still in the midst of formulating a plan to regularise its financial conditions that will include proposals to address this default,“ Barakah said.
A week ago, Barakah announced that the group and its potential white knight, Singapore’s Lecca Group Ptd Ltd, had mutually called off two agreements that were part of its proposed regularisation plan.
Barakah is also in a legal dispute with Petronas Gas Bhd in relation to the Pengerang gas pipeline project. It is seeking RM179.84 million from Petronas Gas for the losses and expenses incurred under extension of times under the procurement, construction and commissioning of the gas pipeline project.
