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RM6 Billion Ulu Padas Water Project Boosts Gamuda Berhad's Prospects
🇲🇾 Malaysia /Energy & Infrastructure

RM6 Billion Ulu Padas Water Project Boosts Gamuda Berhad's Prospects

From Utusan Malaysia · (8m ago) Malay Positive tone

Translated from Malay, summarized and contextualized by DistantNews.

TLDR

  • Gamuda Berhad's prospects are expected to strengthen following the award of Phase 1 of the Ulu Padas Water Supply Scheme (SBAUP).
  • The project, valued at RM6 billion, involves constructing a water treatment plant with a capacity of 350 million liters per day.
  • It also includes building approximately 200 kilometers of pipelines across Sabah's west coast.

The recent awarding of the Phase 1 contract for the Ulu Padas Water Supply Scheme (SBAUP), valued at a substantial RM6 billion, is poised to significantly bolster the outlook for Gamuda Berhad. This development, confirmed by research notes from CIMB Securities, marks a major step forward in enhancing water infrastructure in Sabah.

According to CIMB Securities analyst Kenny Mak Hoy Ken, the project encompasses the construction of a new water treatment plant (WTP) with a daily capacity of 350 million liters. Furthermore, it involves the extensive laying of approximately 200 kilometers of pipelines. This critical infrastructure will stretch across Sabah's west coast, connecting Sipitang to other key areas, thereby improving water distribution and accessibility for a large population.

Surat penganugerahan bagi Fasa 1 Skim Bekalan Air Ulu Padas (SBAUP) bernilai RM6 bilion yang diterima oleh Usahasama Upper Padas Power Sdn. Bhd. (UPPSB) dijangka mengukuhkan prospek Gamuda Berhad, menurut nota penyelidikan Penganalisis CIMB Securities, Kenny Mak Hoy Ken.

— Kenny Mak Hoy Ken (CIMB Securities Analyst)This quote highlights the financial impact of the project award on Gamuda Berhad, as reported by a securities analyst.

This significant project underscores Gamuda's continued role as a major player in large-scale infrastructure development within Malaysia. The Ulu Padas project is not just about capacity; it represents a vital upgrade to the existing water supply system, addressing current needs and future demands in the region. The scale of the investment highlights the government's commitment to improving essential services and supporting economic growth through robust infrastructure.

For Gamuda, securing such a large contract is a testament to their expertise and track record in delivering complex projects. It is expected to provide a substantial boost to their order book and reinforce their position in the competitive construction and infrastructure sector, particularly in East Malaysia. The successful execution of this project will be crucial for ensuring a stable and reliable water supply for the residents and industries in Sabah.

projek berkenaan merangkumi pembinaan loji rawatan air (WTP) berkapasiti 350 juta liter sehari (mld) serta kira-kira 200 kilometer saluran paip yang merentasi pantai barat Sabah dari Sipitang ke…

This quote details the key components of the Ulu Padas water supply project.
DistantNews Editorial

Originally published by Utusan Malaysia in Malay. Translated, summarized, and contextualized by our editorial team with added local perspective. Read our editorial standards.

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