Sinwa KS Limited has clinched an S$8.5 million contract from Shell International Trading and Shipping Company Limited (Shell) in the United Kingdom for the supply of general ships' stores, consumables, provisions and bonded stores to all of Shell's vessels calling at Singapore.

The Shell contract, which attracted bids from major supply companies in major storing ports around the world, is for a period of 2 years commencing 1 May 2003

Sinwa KS' Chairman and CEO, Mr Mike Sim said: We are delighted that Shell has chosen Sinwa KS to supply their vessels at Singapore, and we look forward to forging a long-term strategic relationship with them.

This contract will have a positive impact on our earnings for FY2003 and FY2004, he added.

Yesterday, Sinwa KS reported a 19.1% growth in net profit to $1.1 million on the back of a 33.2% increase in turnover to $13.0 million for the first quarter ended 31 March 2003.

For the full-year ended 31 December 2002, the Group had managed to post a net profit growth of 90.5% to $4 million on the back of a 17.3% increase in turnover to $42 million.

Based on its latest first quarter results, Sinwa KS' European customers -- comprising ship owners, ship management companies and oil rig operators -- continued to lead as the Group's biggest revenue contributor, accounting for 76% of Group sales, while Asia contributed 14.2% and that of other regions provided for the remaining 9.8%.

The Group's long-term objective is to become a global service provider with presence in major ports around the world, thereby reducing the need for its customers to appoint and deal with a variety of service providers with diverse business practices. Sinwa KS' customers can therefore benefit from a consistent, seamless level of service quality and reliability in the ports that Sinwa KS has operational presence, namely Singapore, the United Arab Emirates and the PRC.