[Business Times] Masteel clinches RM6.7m MRT steel supply deal

KUALA LUMPUR: Integrated steel manufacturer Malaysia Steel Works (KL) Bhd (Masteel) has clinched a RM6.7 million steel supply contract for the multi-billion Klang Valley mass rail transit (MRT) project.

In a statement yesterday, Masteel said under the deal, it will deliver high-tensile steel bars to Mass Rapid Transit Corp Sdn Bhd by end- November to be used at various sites, including Package V1-Sungai Buloh, Package V2-Kota Damansara and Package V5-Cheras.

“We are bullish on increased orders as the project rollout intensifies,” said Masteel managing director and chief executive officer Datuk Seri Tai Hean Leng.

He said the company expects the frequency and quantum of awards for steel bars to intensify over the next three years as the momentum of the project’s implementation gains further traction.

The three-line, 150km MRT project is an entry point project under the Government’s Economic Transformation Programme.

It is expected to be the backbone of the Klang Valley’s public transport network and forecast to serve a population of more than 1.2 million people once it is fully completed in 2017.

Aside from the MRT, Tai said Masteel’s strategic location within the Klang Valley places the group in a good position to benefit from other projects as well.

“These include the RM7 billion KL Light Rail Transit extension, the RM1 billion New Pantai Expressway and the RM2 billion Low Cost Carrier Terminal.

“We are poised to capitalise on these new opportunities, having continuously invested in our plant capacity and efficiency upgrades. Our third rolling mill, which is currently under construction, will also allow us to benefit from all these prospects in the market,” he said.

Masteel currently has a 550,000 tonnes per year meltshop in Bukit Raja Klang, Selangor and a 350,000- tonne rolling mill in Petaling Jaya.

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