KUALA LUMPUR (Dec 6): MMC Corp Bhd said a joint venture between MMC Engineering & Construction Sdn Bhd (MMCEC), MMC Oil & Gas Engineering Sdn Bhd (MMCOG) and Sedia Engineering Works Sdn Bhd has been awarded an RM131.4 million contract for the engineering, procurement, construction and commissioning of the PGU-I gas pipeline replacement project.
MMCEC and MMCOG are indirect wholly-owned subsidiaries of MMC.
In a filing with the bourse, MMC said the project comprises the NPS 36 pipeline and associated station works for the total length of 33km from Gas Processing Kertih to Bukit Anak Dara Kijal in Kemaman, Terengganu.
It expects the project to be completed within 35 months from the effective date.
“The project is not expected to have any material effect on the earnings, net assets and gearing of MMC group for the financial year ending Dec 31, 2019.
“However, the project is expected to contribute positively towards the earnings, net assets and gearing of MMC group commencing from the next financial year ending Dec 31, 2020,” said MMC.
MMC's share price closed up 0.5 sen or 0.53% at 95.5 sen, giving a market capitalisation of RM2.91 billion.