Kerjaya Prospek clinches another Seri Tanjung Pinang construction project worth RM398m

• The contract involves Phases 2B and 2C of the STP reclamation project in Tanjung Tokong, Penang

KUALA LUMPUR (Feb 7): Kerjaya Prospek Group Bhd has accepted another contract for the Seri Tanjung Pinang (STP) development in Penang, this time worth RM398 million, for the construction of coastal protection structure.

The contract involves Phases 2B and 2C of the STP reclamation project in Tanjung Tokong, Penang, the group said in a bourse filing.

The job was awarded by Tanjung Pinang Development Sdn Bhd (TPD),  an indirect subsidiary of Eastern & Oriental Bhd (E&O). TPD holds the concession rights to both phases of the STP reclamation project.

Kerjaya Prospek said the contract would commence on April 10, and be completed within 36 months.

“The contract is expected to provide an additional stream of revenue for the group over the next three years,” the construction outfit said.

Kerjaya Prospek has accepted multiple contracts in the STP project in past years. This includes a 40-month contract worth RM154.4 million to build a temporary coastal protection structure for Phases 2B and 2C of the reclamation project, which was awarded in September 2020.

The latest contract further increased the group's order book to RM4.7 billion, said Kerjaya Prospek chief executive officer and executive director Tee Eng Tiong in a statement.

He said the group’s year-to-date contract wins amount to RM533.4 million, after it accepted the TPD project as well as a RM135.4 million design-and-build contract from BBCC Development Sdn Bhd on Feb 2.

Kerjaya Prospek shares were unchanged at RM1.21 at the end of the morning session on Tuesday (Feb 7), giving the group a market capitalisation of RM1.53 billion. E&O, meanwhile, fell 1.5 sen to 41.5 sen, valuing the company at RM612.85 million.