KUALA LUMPUR (April 19): Ikhmas Jaya Group Bhd has secured an RM101.85 million contract for a flood mitigation project in Sungai Pendang, Kedah from the Department of Irrigation and Drainage.

The group said it accepted the letter of award from the department today, with a formal contract to be executed at a later date.

“The project consists of demolition and site clearance, piling works, upgrading of bridges, upstream and improvement works,” Ikhmas Jaya said in a filing with Bursa Malaysia.

It is expected to take 36 months to complete beginning from the date of site possession.

Ikhmas Jaya said that the new project will boost its orderbook to  RM900 million, and is expected to contribute positively to its revenue and earnings for the foreseeable future.

“We are thankful to be given the opportunity to work on this project and we are confident to deliver it on time and within budget,” said group managing director Datuk Ang Cheng Siong.

“Moving forward, with the significant increase in order book and all our existing projects moving into the acceleration phase of the ‘S’ curve, we are confident in seeing further improvement in revenue and earnings barring any unforeseen circumstances,” he said.

Shares in Ikhmas Jaya declined 0.5 sen or 1.27% to close at 39 sen today, giving the group a market capitalisation of RM210.39 million.