KKB Engineering Bhd has been awarded a RM517 million contract to develop the “Score – Samalaju Water Supply Physical Infrastructure Phase 2” project, according to a filing submitted to Bursa Malaysia. The contract was granted by the government through the Regional Corridor Development Authority.

The company stated that the project is expected to take 36 months to complete. Upon awarding the contract, KKB Engineering will formalise the arrangement through a written agreement with the government.

KKB Engineering noted that the contract will not impact the company’s share capital but is anticipated to contribute positively to the earnings and net assets of both the company and its group during the project period.

The company also highlighted potential risks that could affect project execution, including the availability of skilled labour and materials, fluctuations in foreign exchange and pricing, as well as possible challenges arising from weather, political, economic, and regulatory factors.