DELEUM BERHAD UNISON IN DIVERSITY - ChartNexus

20 Unison in Diversity
OILFIELD EQUIPMENT AND SERVICES
This particular segment comprises of wireline equipment rental and services,
integrated wellhead maintenance services, gas turbine aftermarket support and
well services.
The revenue in this segment recorded an increase of 30% from RM218 million in
2008 to RM284 million in 2009. This significant improvement was the result of
an increase in the number of wireline packages, well services activities and gas
turbine upgrade and retrofit projects.
The year under review marked the successful mobilisation of wireline equipment
and personnel for a significant contract in East Malaysia. The Group continues
to strive to be a dominant player in providing wireline equipment rental and
services, focusing in expanding and enhancing value added services within the
current core activities.
The Group continued to provide integrated wellhead maintenance services
for various Production Sharing Contractors (PSCs) during the year. With our
experienced and skilled personnel, we are able to provide comprehensive
specialised maintenance programmes for Original Equipment Manufacturers
(OEMs) surface wellheads as well as Christmas trees and will continue to pursue
new opportunities with other PSCs.
The Group’s gas turbine aftermarket services is focused on providing total life
cycle maintenance support to the customers. The Group has been actively
involved in equipment upgrade and retrofit projects. In executing these projects,
we have increased our capabilities through the formation of an in-house project
team. The Integrated Service Centre in Senawang has increased business activities
in overhauling of gas turbines throughout Malaysia as well as the region.
In line with our mission of being The Preferred Service Company, the Group
has embarked on a competency assessment programme to identify, certify and
enhance the technical competency of oilfield personnel. This programme, which
will be a reference point for technical competency evaluation, is expected to be
implemented in 2010. Specific training programmes can then be developed to
further enhance the skillsets of our personnel.
OILFIELD CHEMICALS AND SERVICES
This business segment involves the development and provision of solid deposit
removal solutions and specialty chemicals.
In relation to the prevalent market conditions with the sudden decline in crude
oil prices in 2009, there were cutbacks in Increased Oil Recovery activities by
the customers. This proved to be a challenge in marketing the products as well as
obtaining customers’ acceptance. Due to this, the revenue contribution for this
segment decreased by 91% from RM4.3 million to RM0.4 million. The sudden
drop in revenue was also due to the completion of a major contract during the
year.
Wellhead Maintenance in progress
Erecting the wireline mast