KUALA LUMPUR (Jan 27): Eita Resources Bhd has secured two contracts worth a total of RM58.35 million for substation extension and reinforcement of supply at Mambong and Entinggan substations in Sarawak. 

The projects, which will commence on Feb 7, were awarded by Sarawak Energy Bhd to Eita Resources’ 60%-owned unit TransSystem Continental Sdn Bhd (TSC) and Terapan Dinamik (M) Sdn Bhd on Wednesday (Jan 26). 

“TSC's scope of works for the contracts includes the management, execution, implementation and financing for the contracts, while Terapan Dinamik is responsible for the civil engineering works for the contracts,” said Eita Resources in a filing with Bursa Malaysia. 

The group said the duration of the Mambong project — worth RM29.39 million — is 24 months from the date of commencement. Meanwhile, the Entinggan project — worth RM28.96 million — has a duration of 21 months. 

Eita Resources also added that the projects will not have any material effect on the net assets and gearing of the group for the financial year ending Sept 30, 2022 and are expected to contribute positively to its earnings over the duration of the contracts.

Eita Resources' shares went down half a sen or 0.6% to close at 83.5 sen on Thursday (Jan 27), valuing the local elevator manufacturer at RM217.1 million.