KUALA LUMPUR: Protasco Bhd’s subsidiary, Empayar Indera Sdn Bhd (EISB), has bagged two contracts involving road maintenance works worth at least RM216.2 million.
The first contract has been awarded to EISB by Perak state government, involving both routine and periodic maintenance works for state roads in the state for a contract period of five years until December 31, 2024 with an extension of another two years.
The award is an extension of the existing maintenance contract with the Perak state government, which is expiring in December 2019.
The contract sum for the first two years is RM126.1 million and shall be subject to review every two years during the contract period of five plus two years.
EISB has also bag another contract from Perak state government for both routine and periodic maintenance works for agricultural roads in the state for a contract period of five years commencing from March 1, 2019 until February 28, 2024 with an extension of another two years from March 1, 2024 until February 28, 2026.
The award is also an extension of the existing maintenance contract with the state government, which is expiring in February 2019.
Contract sum for the first two years shall be approximately RM90.1 million and will be subject to review every two years during the contract period of five plus two years.
Protasco said both contracts is expected to contribute positively to the future earnings of Protasco Group.
Another Protasco’s subsidiary, Roadcare (M) Sdn Bhd has entered into a concession agreement with the Malaysian government for the extension of concession for maintenance of Peninsular Federal Roads within the Central – Eastern Regions, comprising the states of Selangor, Pahang, Terengganu and Kelantan for a further period of eight years.
The contract is commencing from February 17, 2018 until 2026.
Protasco said the concession is expected to contribute positively towards the Group’s results for the financial year ending December 31, 2018.