Minetech inks MoU for Kazakhstan O&G venture

PETALING JAYA: Minetech Resources Bhd has entered into a Memorandum of Understanding (MoU) with Hadid Oil & Gas LLP to establish a joint strategic collaboration in potential business opportunities in the field oil & gas, construction as well as other sectors upon mutual agreement in Kazakhstan or other countries.

The MoU will provide both parties the opportunity to explore and establish collaboration as well as to leverage on each other’s experience, local presence, strength and forte. It will be in effect for a duration of one year and it may be extended subject to mutual agreement of both parties.

On the collaboration, Hadid group of companies’ CEO Sohpian Ariffin commented that Kazakhstan has greater opportunities to offer to Malaysian companies, especially in the oil & gas industry.

“As oil & gas players we consider ourselves fortunate to have such an opportunity because it is known that Kazakhstan’s oil reserve is ranking in top 15 in the world,” he said in a statement.

In addition, Sohpian pointed out that the country is also known to have cheaper onshore cost production per barrel than offshore cost production that helps to maximize profit even during this pandemic phase.

“Apart from that, Kazakhstan is a conflict free zone country and Hadid with its 15 years of experience, recognises that doing business in Kazakhstan eases regulations directly affecting our business,” he said.

Hence, the CEO believe this partnership will go far and ultimately will bring mutual benefits to all parties.