business

HSS accepts revised contract value of RM159m for MRT2 job

KUALA LUMPUR: HSS Engineers Bhd’s (HEB) associate company HSS Integrated Sdn Bhd (HSSI) has accepted the amended terms of its independent consultant engineer services for the Mass Rapid Transit Line 2 Sungai Buloh-Serdang-Putrajaya (MRT2) project.

Under the revised scope, the value of the contract was reduced by RM29.61 million to RM158.68 million from RM188.29 million awarded by Mass Rapid Transit Corporation Sdn Bhd back in 2015.

In a filing with Bursa Malaysia today, HEB said the RM29.61 million reduction comprises of professional fees payable to HSSI, RM4.04 million of professional fees payable to Jabatan Kerja Raya’s (JKR) professional employees seconded to HSSI for the project and RM3.62 million of reimbursable expenses.

“The government’s decision to reduce the cost of the project by converting the Project Delivery Partner Contract to Turnkey Contract has resulted in the client revising the scope of the independent consultant engineer services for the project,” it said

HEB said HSSI and its subsidiary HSS Engineering Sdn Bhd will continue to collaborate exclusively to execute and complete the contract.

The contract commenced on April 10, 2015 and is expected to complete in the first quarter of 2022.

The revised contract is expected to continue to contribute positively to the revenue, earnings and net assets of HEB Group for the financial years ending Dec 31, 2019 to 2022.

– BERNAMA

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