1. INTRODUCTION

The Board of Directors of Dayang Enterprise Holdings Bhd (“DEHB” or “the Company”) is pleased to announce that its wholly-owned subsidiary company, Dayang Enterprise Sdn Bhd (“DESB”), has been awarded a contract by Mubadala Petroleum’s entity, MDC Oil & Gas (SK320) Ltd. (“Mubadala Petroleum”) for the Provision of Pan Malaysia Maintenance, Construction and Modification (the PM-MCM Contract).

2. VALUE AND DURATION OF THE CONTRACT

The value of the Contract is based on work orders issued by Mubadala Petroleum throughout the Contract duration and shall include any or all other work and services which is generally related to the scope of works in this PM-MCM Contract at a fixed schedule of rates.

The duration of the PM-MCM Contract is effective from 9 December 2020 and shall expire on 16 July 2023 with an option to extend for a period of one (1) year.

3. RISK FACTORS

Risk factors affecting the award include execution risks such as availability of skilled manpower and materials, changes in prices of materials, changes in political, economic and regulatory conditions. Throughout the years, DESB has established its track record and expertise to undertake these projects. Notwithstanding this, DESB shall ensure strict compliance to the safety and operational procedures in the execution of the PM-MCM Contract requirements.

4. FINANCIAL EFFECTS

The PM-MCM Contract will have no effect on the issued capital of the Company and is expected to contribute positively to the earnings of DEHB over the duration of the PM-MCM Contract.

5. DIRECTORS’ AND MAJOR SHAREHOLDERS’ INTEREST

None of the directors and/or major shareholders and/or persons connected with the directors and/or major shareholders of the Company have any direct or indirect interest in the PM-MCM Contract.

6. DIRECTORS’ STATEMENT

The Board of Directors of the Company is of the opinion that the acceptance of the PM-MCM Contract is in the best interests of the Company.

This announcement is dated 14 January 2021.