SCOMI INKS DEAL WITH BRAZILIAN GLC

KUALA LUMPUR, June 7 (Bernama) -- Scomi Group Bhd, the provider of oilfield
services to the oil and gas industry has entered into a memorandum of
understanding (MOU) with SC Parcerias S.A. to explore opportunities in drilling
fluids and drilling waste management for the oil and gas industry in Brazil.

SC Parcerias is a Brazilian public-private entity formed by the government
of Santa Catarina to generate investment for the state, through equity, by
entering into contracts, arrangements or public-private partnerships to grant
public services.

"Today's announcement demonstrates the continued importance of Brazil to
Scomi. We are looking forward to joining with a leading company in Brazil to
meet the needs of oil and gas customers in that growing market," Scomi Group
Chief Executive Offiver Shah Hakim Zain said in a statement Monday.

He said the group was dedicated to supporting the continued development of
oil and gas resources in Brazil and was capable of delivering innovative
solutions to meet the growing energy needs of Brazil and the region.

"This joint venture would also enable Scomi to build up its expertise and
offerings in integrated drilling fluids and drilling waste management solutions,
with the potential to deploy next generation technologies," he said.

SC Parcerias Director Gerson Pedro Berti said the company was
heartened to collaborate with Scomi to explore oil and gas opportunities in
Santa Catarina.

"Increasing oil production has always been a long-term goal of the Brazilian
government and we are confident our partnership with Scomi will boost our
efforts to meet this goal," he said.

SC Parcerias, with its strong ties to the government of the State of Santa
Catarina, will allow for Scomi to also conduct research and development (R&D) at
Sapiens Park, an "innovation park" located in the state of Santa Catarina which
focuses on information and communication technology, multimedia, bioengineering
and nanotechnology.

"Scomi is highly recognised worldwide in developing environmentally friendly
drilling fluids and drilling waste management systems which is in line with the
objective of Sapiens Park to introduce cutting edge solutions in Brazil," Berti
said.

Sapiens Park is focused on the development of new technologies and the
projected investment over the next 15 years is estimated at US$1.3 billion.
-- BERNAMA