MISC BERHAD INTEGRATED ANNUAL REPORT 2025 08 11 09 12 03 04 05 10 SEC 07 BUSINESS REVIEW 06 13 01 02 108 www.miscgroup.com 109 www.miscgroup.com #deliveringProgress OFFSHORE ZAHID OSMAN President & Group CEO, MISC OFFSHORE In 2025, the Offshore segment delivered a year of strong financial and operational performance, anchored by high asset uptime, disciplined project delivery and secured long-term income streams. Our priority remained clear, to maximise asset value, uphold operational reliability, pursue growth selectively with the aim to reinforce earnings durability through long-duration lease structures. In Brazil, after our momentous delivery and first oil in 2024, FPSO Marechal Duque de Caxias completed its first full year of operations with an LTI-free safety record. We continued to maintain the highest standard of safety and operational excellence. During the year, the asset transitioned into steady-state performance, reflecting operational maturity and sustained stability. The asset contributes significant, steady and long-term cash flow to the Group. With our consistent focus on pursuing growth and discipline in capital deployment, we have successfully established our beach head in Brunei offshore market by securing a long-term Floating Production Unit (FPU) contract under a lease, operate and maintain model. The 12-year firm charter, with extension options, strengthens long-term earnings visibility with robust cash flow contribution to the Group, while expanding our geographic footprint and client base. In addition, based on the same growth strategy in delivering progress, we further expanded our regional presence by securing a long-term Floating Storage and Offloading (FSO) contract in Papua New Guinea under a bareboat charter, and operations and maintenance arrangement with ExxonMobil PNG Limited in early 2026. This milestone marks our successful inaugural entry into the Papua New Guinea offshore market. Beyond that, we have secured an extension for the FPSO Ruby II charter with PetroVietnam Technical Services Corporation (PTSC), as part of our strategy to continue sweating our existing asset to maximise cash flow generation from recurring income. For our Profitable New Energy Business pillar, we continue to advance transition-ready solutions in a structured and prudent manner. We have laid the necessary foundation to pursue growth in this area by securing the Approval in Principle (AiP) from the American Bureau of Shipping (ABS) for our Ammonia FPSO concept with technical feasibility validated at the design stage. Furthermore, progress on the ZEUS demonstration project through FEED has proven our readiness in zero-emissions power solutions. Looking ahead, we will continue to ride on the FPSO super cycle by pursuing selective growth opportunities that are aligned with our risk appetite and capital deployment priorities, with the aim of expanding our long-term contracted asset portfolio. This will reinforce our position as an established owner-operator of floating production assets across both conventional and energy transition-linked developments. On behalf of the Group, I would like to express our appreciation to Alexander James Brigden for his contributions to the Offshore segment in 2025. The leadership transition following his departure was smooth, reinforcing leadership continuity and supporting long-term stability. KEY ACHIEVEMENTS BUSINESS HIGHLIGHTS Operating Profit (RM million) 2025 865.4 2024 51.5 Revenue (RM million) 2025 1,931.0 2024 1,636.3 17% of 2025 Group Revenue Asset Uptime 2024 >97% 2025 >97% KEY FINANCIAL HIGHLIGHTS
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