Gamuda aims for RM10b new order book
KUALA LUMPUR (Dec 8): Gamuda Bhd is aiming for new order book of about RM10 billion for 2021, involving a combination of international and domestic infrastructure projects, according to group managing director Datuk Lin Yun Ling.
Of the RM10 billion, 50% will come from Australia while the remaining will come from Penang, Lin said today at a virtual press conference after Gamuda’s annual general meeting today.
According to Gamuda’s statement issued to reporters attending the press conference, the group’s total outstanding confirmed order book stands at about RM7 billion.
“The total outstanding confirmed order book is RM7 billion (from MRT2, Pan Borneo Highway and other existing smaller projects),” the statement said.
Lin said in the statement that Gamuda has submitted tenders for three work packages in Australia, at A$2 billion (about RM6.04 billion) each.
“Target to win at least one. In Australia, the Australian Government has chosen to use fiscal stimulus to boost the economic recovery and they have earmarked A$100 billion into infrastructure projects, especially railway-related projects,” he said.
“We are looking at three main infra projects — M6 Stage 1 Highway, Sydney Metro West (two packages).
“The clients there are different. We have conducted many online interactive [programmes] with them as they wanted to know not only how good we are, but also gauge our project management skills and capabilities in technical engineering. They will use the next few months of this engagement exercise to measure our strategy,” he said.
Gamuda’s remaining RM5 billion new order book target is expected to be derived from Penang land reclamation projects. Lin said the Penang state government deems it important that the reclamation should proceed because of the weak economy.
Over the last two years, foreign direct investments (FDIs) related to electrical and electronics (E&E), which is the key economic growth engine for Penang, have been increasingly strong but Bayan Lepas has run out of land, according to Lin.
“A lot of the investors want to be in Bayan Lepas because of the strong E&E ecosystem there and the highly skilled workforce there. The land that is available would allow FDIs totalling RM200 billion to flow into the country over the next 20 years.
“This will in turn create 300,000 new jobs, which is very important for Penang. So, the Penang state government is looking at a few options at how the reclamation could start soon,” he said.