Tanjung Offshore's unit, T7 Aero and UK-based Kilgour Metal Treatments had signed a memorandum of understanding (MoU) as the offshore oilfield service provider looks to diversify as part of a long-term strategy.
Chairman Nik Norzrul Thani was quoted as saying that due to the murky global economic situation and depressed oil prices, the group does not want to solely depend on the oil and gas business.
"We can't fully depend on the oil and gas business, although it remains our core focus.
"However, we have to look to diversify to ensure the company can survive in the years to come. On that basis, we view aerospace as an entry point into a high value industry with great potential," he added.
Under the MoU, Tanjung Offshore and Kilgour will explore the building, operation and setting up of a metal treatment plant in Malaysia, as part of their diversification into high value manufacturing.
Offshore fabricator TH Heavy Engineering is among other companies that have also diversified into non-marine projects such as refinery equipment manufacturing to help them survive the lean times in the industry.
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