PETALING JAYA: Pestech International Bhd has bagged a RM64.95mil contract for works relating to the traction power supply of the Rapid Transit System (RTS).
In a filing with Bursa Malaysia yesterday, Pestech said its wholly-owned subsidiary, Pestech Technology Sdn Bhd, had obtained the required endorsement from RTS Operations Pte Ltd for the job.
The contract will involve the design, manufacture, supply, delivery, installation, testing and commissioning, interfacing, warranty and other related works pertaining to the RTS.
“The project will connect Johor Baru, Malaysia and Woodlands, Singapore crossing the Straits of Johor. The link will be a modern light rail transit system that will provide a high volume, fast and efficient transportation system between stations, ” it said.
Pestech said the link will have a capacity of 10,000 passengers per hour, per direction and an expected ridership of about 40,000 passengers per day upon opening.
“The 4km-RTS link is expected to ease the traffic congestion on the Johor-Singapore Causeway and enhance cross-border connectivity for commuters.
“The procurement of this letter of award through the open bidding process signifies recognition of Pestech’s capability in delivering full engineering, procurement, construction and commissioning in rail electrification projects and plants the milestone of the group in bringing local expertise in rail electrification to serve the Asean region.”
Pestech, an integrated electrical power technology company, added that the project will commence immediately and be completed on Sept 30,2026.
“The project will contribute positively towards the future revenue and earnings of Pestech in accordance with the stage of project progress to be recognised in the financial years ending June 30,2022 to June 30,2027.
“Pestech does not foresee any exceptional risk other than the normal operational risk associated with the project such as availability and changes in the price of raw materials.”
Pestech said it will take necessary steps to mitigate the risks as and when it occurs.
“None of the directors and/or major shareholders and/or persons connected to them, has any interest, direct or indirect in the project.
“The board is of the opinion that the project is in the best interest of the company.”