Salcon Berhad (“Salcon” or “the Company”) is pleased to announce that Salcon Engineering Berhad, a wholly-owned subsidiary of the Company, has on 27 August 2011 accepted the Letter of Award dated 25 August 2011 from Octagon Engineering (M) Sdn Bhd for a sub-contract project known as ‘Flood Mitigation Plan for Chukai, Kemaman, Terengganu Darul Imam’ for upgrading, repairing works and its related works of Sg. Chukai (“the Project“).
The contract sum for the Project is RM20,400,000/- only (Ringgit Malaysia : Twenty Million And Four Hundred Thousand only) and the contract duration is 18 months commencing from September 2011 to February 2013.
The Project is expected to contribute positively to the earnings or net assets of Salcon Group for the financial years ending 31 December 2012. The acceptance of the said letter of award will have insignificant financial impact for the financial year ending 31 December 2011 of Salcon Group as the project is mainly on mobilisation and planning stage as well as to the financial year ending 31 December 2013.
Salcon do not foresee any exceptional risk other than operational risk associated with the Project.
None of the directors and/or major shareholders of the Company, or persons connected with them have any interest, direct or indirect, in the Project.
