PETALING JAYA: Reservoir Link Energy Bhd, currently listed on the ACE Market of Bursa Malaysia Securities, has proposed to transfer its listing to the Main Market of Bursa Securities, having met all the relevant requirements under the Equity Guidelines of Securities Commission Malaysia and the Main Market Listing Requirements of Bursa Securities.
Over the 14 months since Reservoir Link’s listing on the ACE Market, the group has reported an aggregate profit after tax of RM23.0 million for the past three financial years ended Dec 31, 2018 to 2020. As at Dec 31, 2020, the group displayed a healthy financial position with a current ratio of 3.6 times and net cash position of RM24.8 million, reflecting the ability to meet short-term obligations. In addition, Reservoir Link currenty has a public shareholding spread of 43.3% of the total number of listed shares, exceeding the 25% required by the listing regulations.
Reservoir Link started out as a service provider of well services supporting the upstream segments for oil and gas operators. Since then, the group has grown the business to cover all stages of the well’s life from well leak repair, perforation, testing, wash and cement, wireline services, production enhancement plus other services. After its listing, the group acquired a 51% stake in Founder Energy Sdn Bhd as part of the group’s advancement in the energy sector.
Meanwhile, Reservoir Link’s wholly owned subsidiary, Reservoir Link Sdn Bhd, has been awarded a contract by Sarawak Shell Bhd/Sabah Shell Petroleum Co Ltd (SSB/SSPC) for the provision of slickline equipment and services. The three-year contract took effect on Sept 3.
Under the contract, Reservoir Link will be the primary contractor providing slickline equipment and services for well completion activities which are rig assisted and as a back-up contractor for well interventions activities which are non-rig assisted. The scope of work includes the provision of lightweight zone II slickline packages to support SSB/SSPC’s operations for well completions, and routine and non-routine well intervention activities.