KUALA LUMPUR (Feb 5): Straits Energy Resources Bhd announced that its 70%-owned subsidiary Straits CommNet Solutions Sdn Bhd (SCS) has secured a RM15.72 million contract from Tianu Sdn Bhd for the installation, testing and commissioning of aluminium XLPE underground cables and accessories for asset development for Tenaga Nasional Bhd (TNB).
Tianu has been awarded the project by TNB as the main contractor, and has joined forces under a smart partnership with SCS to deliver the project, focusing on the installation, testing and commissioning of underground cables and accessories for distribution networks, said Straits Energy in announcing the contract to Bursa Malaysia on Monday.
“This strategic collaboration represents a fusion of Tianu's extensive experience in cable technology and SCS’ proficiency in network solutions. The aim is to revolutionise the installation, testing, and commissioning of underground cables, ensuring optimal performance, reliability, and sustainability in distribution networks,” the group said.
Tianu is principally involved in mechanical and electrical services, construction and general services, as well as supply and services of security tools and protection control, fire prevention system and control tools, electrical engineering and electronics, ICT telecommunication, furniture and fittings.
Meanwhile, SCS is principally involved in designing, developing, researching and handling all types of telecommunication products, and providing a broad range of network development services.
According to the group, SCS shall prepare a performance bond for the sum of RM798,540 within 28 days from the date of letter of award. The performance bond shall be valid and enforceable until twelve months after the expiry of the contract period.
This is not the first contract that has been awarded by Tianu to SCS. In October 2023, Straits Energy announced that SCS had received a RM27.7 million contract from Tianu for the same type of job in installation, testing and commissioning aluminium XLPE underground cables for TNB.
Both contracts have a duration of one year, with an option to extend for another year subject to satisfactory performance.
At market close on Monday, the shares in Strait Energy settled at 12.5 sen, unchanged from its opening price, with 2.16 million shares traded. Its market capitalisation stood at RM124.31 million.