KNM to supply air-cooled heat exchangers worth RM 111M

KNM Group Bhd, which is involved in oil and gas (O&G) equipment and services, has secured a purchase order for the supply of air-cooled heat exchangers worth approximately RM 111M.

The group said its indirect wholly-owned subsidiary FBM Hudson Italiana SpA accepted the purchase order on the same day from engineering outfit Bechtel International Inc.

Bechtel serves the energy, infrastructure, nuclear, security and environmental, and mining and metals markets. It is headquartered in Reston, Virginia, the US.

According to KNM, the supply and delivery duration of the transaction is a period of approximately 20 months from the date of the purchase order.

The contract is expected to contribute positively to the group’s earnings for the financial year ending Dec 31, 2022 (FY22) and FY23.

KNM said it is already operating in these industries and hence would continue to be exposed to risk factors that they currently face.

Recently, KNM shares settled half a sen or 2.27% higher at 22.5 sen, giving the group a market capitalization of RM 733.89M.