Nordic Group has secured contracts amounting to a total value of $24.2 million from new and existing customers within marine, oil & gas, petrochemical, infrastructure and semiconductor industries.
In a filing to SGX dated May 24, the company disclosed that $14.6 million of the new contracts were for capital and maintenance services across three divisions - cleanroom, air and water engineering solutions ($12 million), petrochemical & environmental engineering ($2.1 million), and insulation ($0.5 million).
The cleanroom, air and engineering solutions contracts are mainly for mechanical and tools hook-up services, supply and installation of an air pollution control scrubber as well as a water treatment plant. The contracts will end between 2021 - 2023.
The petrochemical and engineering contracts are for tank cleaning, mechanical repairs and operation and maintenance of a waste-to-energy plant, with the contracts completing in 2021 and 2022.
The insulation contract was for thermal spray and aluminium work, with a maintenance contract for three years from May.
SEE:Nordic Group bags contracts worth $30.4 mil
The remaining $9.6 million in contracts were secured for capital projects under the precision engineering ($5.8 million) and system integration divisions ($3.8 million).
The precision engineering contracts are for machining services and mechanical assembly, and will mainly complete in 2Q2021.
The system integration division contracts are mainly for the manufacture of valves and actuators control and tank gauging systems, along with retrofitting remote control systems for valves. The retrofitting contracts will mainly complete in 2H2021, while the manufacturing contracts will be delivered throughout 2022.
According to Nordic Group, the contracts are not expected to have material impact on the the group’s net tangible assets or earning per share for the current financial year.
As at 4.48pm, shares in Nordic Group are trading flat at 27 cents.
