KUALA LUMPUR (May 23): Shares of KNM Group Bhd rose 1.08% this morning after it bagged a US$43 million (RM175 million) contract from Norman Process Oils Malaysia Plant Sdn Bhd to undertake engineering, procurement, and construction (EPC) works for the treated distillate aromatic extract (TDAE) plant at Tanjung Langsat Port, Johor.
At 9.05am, KNM rose half a sen to 47 sen with 558,200 shares done.
The TDAE plant is to produce carcinogen-free (green) rubber process oils for synthetic rubber and tyre industries.
In a filing with Bursa Malaysia May 20, KNM said its wholly-owned subsidiary KNM Process Systems Sdn Bhd has accepted a letter of award from Norman for the proposed project.
It said the duration of the contract will be for 20 months, commencing from a date that is subject to the execution of a formal contract agreement to be duly signed between the two parties.
KNM noted while the contract is subject to certain risks mainly in the power, oil, gas, petrochemical, and energy industries, the group is already operating in these industries and hence, would continue to be exposed to risk factors that it currently faces.
KNM (7164) - KNM rises 1.08% after bagging US$43m job
http://www.theedgemarkets.com/my/article/knm-rises-108-after-bagging-us43m-job
