sarawak

 
 

KKB Engineering awarded RM60.9m contracts

PETALING JAYA: KKB Engineering Bhd has bagged multiple contracts worth RM60.9 million.

The group told Bursa Malaysia that it had received two letters of award from the Sarawak Rural Water Supply Department for the proposed construction and completion of water supply from Kota Samarahan to Sebuyau, Samarahan Division for Sarawak Water Supply Grid Programme – Stressed Areas under Package 3A and 3B.

In addition, KKB also received additional supply orders for MSCL pipes & specials Laras Jaya Engineering Sdn Bhd, Cipta Wawasan Maju Engineering Sdn Bhd and Cityon Development Sdn Bhd.

These supply orders are to be delivered in stages within the 1H2020.

KKB noted that the contract period for construction contract Package 3A is 14 months commencing from end-October 2019 and scheduled to complete by December 2020.

Meanwhile, Package 3B is for 16 months from end-October 2019 to February 2021.

At the noon break, KKB’s share price was unchanged at RM1.40 on 50,000 shares done.


Advancecon bags RM50.5m worth of jobs

PETALING JAYA: Advancecon Holdings Bhd has secured two jobs worth RM50.5 million comprising a RM38.7 million contract for Upper Rajang Development Agency (URDA) in Sarawak and a RM11.8 million works contract for Sime Darby in Negri Sembilan.

In a filing with Bursa Malaysia, Advancecon said the Sarawak contract encompasses earthworks and ancillaries works for the proposed new road in Rh. Undi/ Rh. Seli/ Rh. Mamut/ Rh. Ai in Antawau, Sg. Bena (Phase 1).

The contract period will be for about two years commencing from Oct 22, 2019 and is expected to be completed by Oct 7, 2021 or any extension of time granted.

Advancecon also obtained a letter of award from Sime Darby to carry out earthworks and ancillary works for the SME Business Park development in Negri Sembilan.

The scope of works includes the proposed construction and completion of earthworks, ESCP, main drain, retaining wall and other ancillary works.

The contract will run over a period of 12 months starting from Oct 15, 2019, the date set for site possession till Oct 24, 2020.

“Advancecon has now secured three new contracts in the span of a week, bringing the group’s total new wins to approximately RM200 million year-to-date,” said its CEO Datuk Phum Ang Kia.

Following these latest contract wins, the group’s outstanding order book amount totals RM866.9 million, with earnings visibility for at least 30 months.


Advancecon bags RM50.5m worth of jobs

PETALING JAYA: Advancecon Holdings Bhd has secured two jobs worth RM50.5 million comprising a RM38.7 million contract for Upper Rajang Development Agency (URDA) in Sarawak and a RM11.8 million works contract for Sime Darby in Negri Sembilan.

In a filing with Bursa Malaysia, Advancecon said the Sarawak contract encompasses earthworks and ancillaries works for the proposed new road in Rh. Undi/ Rh. Seli/ Rh. Mamut/ Rh. Ai in Antawau, Sg. Bena (Phase 1).

The contract period will be for about two years commencing from Oct 22, 2019 and is expected to be completed by Oct 7, 2021 or any extension of time granted.

Advancecon also obtained a letter of award from Sime Darby to carry out earthworks and ancillary works for the SME Business Park development in Negri Sembilan.

The scope of works includes the proposed construction and completion of earthworks, ESCP, main drain, retaining wall and other ancillary works.

The contract will run over a period of 12 months starting from Oct 15, 2019, the date set for site possession till Oct 24, 2020.

“Advancecon has now secured three new contracts in the span of a week, bringing the group’s total new wins to approximately RM200 million year-to-date,” said its CEO Datuk Phum Ang Kia.

Following these latest contract wins, the group’s outstanding order book amount totals RM866.9 million, with earnings visibility for at least 30 months.


Fitch unit sees Putrajaya struggling to find private funding for Budget 2020’s infra plans

KUALA LUMPUR, Oct 15 — The federal government will face obstacles in convincing the private sector to help finance the massive infrastructure projects planned in Budget 2020, Fitch Solutions Macro Research said. In a research note today, the Fitch…


Petronas expands customer base with 3rd LNG break bulking STS transfer

KUALA LUMPUR: Petroliam Nasional Bhd (Petronas), through its subsidiary, Petronas LNG Ltd (PLL), recently completed its third successful delivery of liquefied natural gas (LNG) cargo through its break bulking ship-to-ship (STS) transfer to two buyers.

This LNG break-bulking STS transfer which took place in Brunei Bay, Sabah, is the first for Petronas in expanding its customer base by providing solutions to two buyers. The delivering vessel, Seri Bijaksana, transferred 80,000 m3 of LNG to LNG vessel, Polar Spirit and 62,000 m3 to Lerici, which then made their separate deliveries to two separate receiving terminals in China.

Petronas executive vice president & CEO of gas & new energy business Adif Zulkifli said the company continues to demonstrate its flexibility and adaptability to succeed in the changing and dynamic LNG market place.

“The third successful STS transfer operation is a testimony of our commitment to address customer demands. This could only be achieved through Petronas’ unique business models which allow us to customise our solutions according to our customers’ requirements; especially when the market is moving towards mid-sized cargo requirements, or smaller parcels of LNG. By remaining focused in providing innovative solutions to meet customer demands, Petronas is able to continue its on-time and on-schedule LNG delivery for more than 35 years and counting,” he said in a statement.

Petronas completed its first LNG STS break-bulking operation in June 2018, and the second, in April 2019. Petronas is well positioned to conduct LNG break-bulking STS transfer operations with its infrastructure readiness, security of supply, network of partnerships and technical capabilities.

Particularly in Asia, Petronas has the competitive advantage to lead due to it is strategic location, as Malaysia falls within the trading route of Japan, Korea, Taiwan and China, which are the world’s largest importers of LNG.

The completion of the STS was a collaborative effort with various stakeholders namely Sabah Ports Authority, Sabah Ports Sdn Bhd, Sabah Ports and Harbours Department, MISC Bhd, Teekay LNG Partners LP, Asian Supply Base Sdn Bhd, Argo Engineering Sdn Bhd, Eastport Marine Sdn Bhd and KASI (Malaysia) Sdn Bhd.

Backed by over 35 years of LNG experience, Petronas is recognised as a reliable and flexible LNG supplier, with diversified LNG supply portfolio from its main supply based at the Petronas LNG Complex in Bintulu, Sarawak, Gladstone LNG in Australia and PFLNG Satu, the world’s first floating LNG facility located offshore Sabah.


Felcra and Qatar’s Baladna to set up Malaysia’s largest dairy farm

KUALA LUMPUR, Oct 10 ― Felcra Bhd and Baladna Food Industries WLL, Qatar’s largest dairy producer, aims to set up Malaysia’s largest dairy farm in the next two years, in line with the country’s National Food Security Policy. Felcra chairman…


Advancecon awarded Sarawak road contract

PETALING JAYA: Advancecon Holdings Bhd’s wholly owned subsidiary Advancecon Infra Sdn Bhd (AISB) received a RM49.38 million sub-contract from its associate company Advancecon (Sarawak) Sdn Bhd.

Advancecon told Bursa Malaysia that it had received a letter of award for the appointment of AISB as the sub-contractor for the Upper Rajang Development Agency (URDA) Package 2: road infrastructure projects in Pelagus/Baleh, Sarawak.


Fuel subsidy could have adverse impact on aggregate consumption, says research house

PETALING JAYA: The government’s announcement of a petrol subsidy targeted at the B40 community is welcomed, but there could still be an adverse impact on aggregate consumption, said Public Research.

“While the policy is positive to clamp down leakages in the economy and fairer distribution of resources, we must also be cognisant of its potentially adverse impact on aggregate consumption as what we witnessed in 2017.

“Measures to reduce the cost of living to offset the blow to aggregate consumption must be taken and Budget 2020 provides the best avenue to address that. Our 2020 inflation projection and aggregate consumption projections remain status quo until the tabling of Budget 2020 this Friday,” the research house said in a note today.

On Monday, Domestic Trade and Consumer Affairs Minister Datuk Seri Saifuddin Nasution announced a monthly petrol subsidy of RM30 for owners of cars below 1,600cc and cars more than 10 years old that are above that capacity, and RM12 for motorcycle owners beginning next year.

The eligibility criteria for the new subsidy, which the government estimates will benefit 2.9 million vehicle owners, is more stringent than those guided by Budget 2019, which projected 6.6 million beneficiaries.

The total cost of the targeted fuel subsidy is estimated at RM65.4 million a month or RM784 million a year.

The refloating of the RON95 price is only applicable to Peninsular Malaysia while Sabah, Sarawak and Labuan will see a capping of the price of RON95 at RM2.08 per litre in view of the high usage of diesel there, the minister said when announcing the subsidy.

The price of RON95 will be refloated in stages in early 2020 before eventually being priced according to global benchmarks. No subsidy will be given should oil prices and the consequent petrol prices stay below RM2.08 per litre.

The RON95 price has been kept steady since February 2019 and has played a pivotal role in keeping inflation low, reflected by the average rate of only 0.3% for 2019 to date.

To that effect, CIMB Research said that following clarity on the timing of the targeted fuel subsidy mechanism, it will be revise its 2020 forecast inflation forecast higher to 1.9% from 1.1%.

“While we expect slight upward pressure to core inflation due to second-order effects, underlying price movements are poised to remain below levels consistent with medium-term price stability.

“We retain our expectations for a 25 basis point (bp) Overnight Policy Rate (OPR) cut in November 2019. However, implications of the tweaked inflation forecasts have led us to delay our call for a follow-up 25bp reduction from 1H20 to 2H20,” it said.


September palm stocks set to snap six months of falls

KUALA LUMPUR: Malaysian palm oil stockpiles in September likely rose for the first time in seven months, as production grew and export demand eased for the edible oil, a Reuters survey showed.

Inventories in the world’s second-largest palm oil producer are forecast to rise 11.9% from August to 2.52 million tonnes in September, their highest in five months, according to a median estimate of eight planters, traders and analysts polled by Reuters.

Higher stocks could put further pressure on benchmark palm oil prices, which hit a more than one-month low at the end of September.

Prices have been trading in a tight range since then, and were last 0.6% higher at RM2,161 at the midday break on Monday.

Stockpiles were largely expected to rise as exports slumped for the first time in three months.

Exports likely shrank by 19.4% to 1.4 million tonnes from a three-year high in the previous month, as demand from markets such as India eased.

“We saw lower exports to India as they purchased more refined oil from Indonesia instead due to the recent change in duty structure,“ said a manager at a Malaysian plantation firm, who declined to be named as he was not authorised to speak to the media.

“Though September exports are lower month-on-month, they are still considered good as August exports were the highest in three years.”

India, the world’s biggest edible oils importer, in September raised the tax on refined palm oil from Malaysia to 50% from 45% for six months to curb imports and boost local refining.

Industry players had forecast that Indian demand for Malaysian refined palm oil would drop sharply following the tax hike, limiting further exports from the Southeast Asian country and leading to higher inventories.

Malaysian palm oil output likely rose in line with seasonal trend, contributing to the gain in inventories and marking a third straight month of gains in production.

The poll pegged September production at 1.91 million tonnes, up 4.6% from the previous month and the highest in nearly a year. “Fresh fruit bunch yields remain strong and growth is mainly coming from East Malaysia estates,“ Ivy Ng, regional head of plantations research at CIMB Investment Bank, said in a note.

Malaysia’s eastern states of Sabah and Sarawak are the country’s top two producing regions of palm oil. – Reuters


Sarawak Digital Village to be ready by mid-next year, says state Multimedia Authority

KUCHING, Oct 6 — Construction of the RM27 million Sarawak Digital Village at the Sama Jaya High Tech Park here, is expected to be completed by the middle of next year. Sarawak Multimedia Authority (SMA) Digital Village Unit head, Hazwan Razak,…