Steel Hawk deputy chairman and executive director Datuk Sharman K. Michael
KUALA LUMPUR: Steel Hawk Bhd
has announced its first entry into the utilities and power infrastructure sector through a RM92.7mil subcontract with Tenaga Nasional Bhd (TNB).
The oil and gas services and equipment provider said the works will be undertaken by its wholly owned unit, Steel Hawk Engineering Sdn Bhd (SHESB), in collaboration with Ibrahim & Sons Engineering Sdn Bhd (IBSE).
The scope of works covers the installation, testing and commissioning of 11kV and 33kV underground aluminium cross-linked polyethylene (XLPE) power cables and related accessories.
The subcontract works are part of three letters of intent (LOI) awarded by TNB to IBSE, with a total contract value of approximately RM92.7mil.
Under this collaboration, SHESB will support the project by contributing manpower and working capital while IBSE will lead as the main contractor responsible for project execution, coordination and overall delivery to TNB.
“This collaboration marks a pivotal step for Steel Hawk. By expanding our engineering, procurement, construction and commissioning (EPCC) capabilities beyond O&G into electrical infrastructure, we are diversifying our earnings base, reducing reliance on a single sector, and aligning with long-term national infrastructure spending,” Steel Hawk deputy chairman and executive director Datuk Sharman K. Michael said.
“We see strong potential to extend our expertise into utilities and power, industrial manufacturing, healthcare, defence, telecommunications and large-scale commercial projects.”
He added that the Group is actively tendering for a pipeline of new EPCC opportunities in both the public and private sectors and is in the process of registering as a vendor with several corporations.
Sharman said the group is executing its strategy to diversify into other industries, starting with its first electrical infrastructure project for TNB in collaboration with IBSE.
He said this marks the first step of the group’s ‘Expanded EPCC Segment’, positioning Steel Hawk to participate in a broader range of sectors, including utilities, power, transportation, industrial and commercial developments.
“The proposed diversification into the expanded EPCC Segment and the proposed variation in the utilisation of IPO proceeds are subject to shareholders’ approval at an extraordinary general meeting to be convened.
“Our expansion into new industries, alongside a resilient O&G base, will diversify Steel Hawk’s revenue streams and strengthen the Group’s platform for sustainable, long-term growth,” he added.
In the first half ended June 30, Steel Hawk’s net profit rose 48.2% to RM9.2mil from RM6.2mil a year earlier, while revenue jumped 64.6% to RM64.3mil from RM39mil.
