MRCB: The Sleeping Gold MineMalaysian Resources Corporation Berhad (MRCB) share price has gained its big pump yesterday after LRT 3 has been confirmed to proceed. The confirmation was made by Malaysian Minister of Finance, Lim Guan Eng. For a record, MRCB and George Kent are project delivery partner (PDP) for the LRT line 3. The companies secured at least 6% of the finalised construction cost.
Yesterday's gains have been corrected by today's drop. MRCB is trading strong at .710 by morning session but broke its cloud support of .700 by afternoon session.
For a record, MRCB has been awarded a contract worth RM 604 million to undertake V210 package of MRT 2. On 18th December 2017, MRT Corp released a video describing the progress of the SSP line from 2016 to 2017 in YouTube. The progress statistics are: 23.68%, 15.43%, 9.05%, 10.32%, 35.31% and 11.51% respectively for packages V201, V202, V203, V210, Serdang Depot and underground. The construction from Persiaran Apec to Putrajaya Sentral, dubbed package V210 has achieved a completion rate of at least 11.51%. On 12th July, MRT Corp SSP Line project director Datuk Amiruddin Ma’aris said the long span viaduct crossover along Jalan Kuala Selangor had already started with 30% completion rate for the whole MRT 2 project.
With this data, MRCB is trading with highly undervalued price assuming the V210 is to be proceed as usual. For a note, MRT 2 corp is looking ways to lower the cost of MRT 2 before the cabinet ministers give an official greenlight.