Water solutions specialist Memiontec has been awarded two new tenders worth a total of $12.7 million by the Public Utilities Board (PUB).
The new contracts come in addition to the $21.7 million worth of contracts awarded to the group in April.
It also brings Memiontec’s total order book to $91.6 million to date. The amount represents a 16.1% increase in the group’s order book of $78.9 million as at July 31.
The first contract involves the replacement of mechanical and electrical equipment at Jurong Island Sewage Treatment Plants 1 and 2. The replacements are scheduled to be completed within 24 months from September.
The second contract involves the supply and delivery of activated carbon at PUB. It is slated to be completed within 27 months from August.
See also: Memiontec satisfies region's thirst for clean water with diversified business model
Looking ahead, the group says it anticipates a number of significant public tenders in the next two years in Singapore relating to membrane processes as well as mechanical, electrical, instrument, control and automation works for various water reclamation plants and waterworks.
In addition, the group’s various licenses, including the BCA ME11 Grade L6 and the B1 and B2 construction licenses in Indonesia, puts it in good stead to take part in the upcoming significant public tenders in Singapore.
“Memiontec has been involved in various PUB projects over the past 20 years and we will continue to work closely with PUB to support their efforts in enhancing Singapore’s water infrastructure,” says Tay Kiat Seng, Memiontec’s executive director and CEO.
The contracts are expected to contribute positively to the group’s financial results for their duration.
As the contracts will commence in August and September this year, they are not expected to have a material impact on Memiontec’s net tangible assets (NTA) per share and earnings per share (EPS) for the current financial year ending Dec 31.
As at 2.37pm, shares in Memiontec are trading 3 cents higher or 9.38% up at 35 cents.
Photo: Albert Chua/The Edge Singapore
