OILTEK International’s : HQU 0%wholly-owned subsidiary has been awarded new contracts worth RM56.8 million (S$17.1 million) in Indonesia and Malaysia for the second quarter ending Jun 30, 2023.

The contracts were obtained for Oiltek’s edible and non-edible oil refinery and renewable energy segments. 

The new contracts involve the design, fabrication, delivery, testing and commissioning of a new crude palm oil pretreatment plant, biodiesel plant and a new shortening plant, said Oiltek on Thursday (Apr 20).

Another contract is for a turnkey project involving the construction, fabrication, and installation of inside-battery-limits for a new physical refinery plant and a dry fractionation plant.

Following the RM101 million worth of new contracts secured in the first quarter of this year, the cumulative value of new contracts that Oiltek has won in the current year to date amounts to approximately RM157.8 million.

This represents around 80.5 per cent of the RM196.1 million in contracts the company won for the last financial year.

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The new contracts take the group’s current order book to a new high of RM339.5 million. Barring any unforeseen circumstances, the group expects its current order book to be fulfilled over the next 18 months to 24 months. 

“We will continue to build on our growth momentum even amidst a challenging operating environment to surpass last year’s record of new orders,” said Henry Yong, executive director and chief executive of the company. 

He added: “With our new and innovative process designs, Oiltek will continue to provide support and solutions to help customers with their sustainability efforts.”

Oiltek’s shares closed flat at S$0.235 on Wednesday, before the announcement.