KUALA LUMPUR: Pioneer Heat Holdings Bhd has secured an RM18.2 million contract through its wholly-owned subsidiary BPMech Engineering Sdn Bhd to undertake tank rejuvenation works at Tanjung Sulong Export Terminal in Kemaman, Terengganu.
In a filing with Bursa Malaysia, Pioneer said BPMech accepted a letter of award from Toyo Kanetsu (Malaysia) Sdn Bhd on Nov 4 to serve as subcontractor for the engineering, procurement, construction and commissioning works.
The scope covers material supply, shop fabrication and on-site construction for the tank rejuvenation project.
The contract is expected to commence in November 2026, with the respective completion dates for the works scheduled for July 2027 and March 2028.
Pioneer said the contract is expected to contribute positively to the group's future earnings throughout its duration, barring unforeseen circumstances.
The group intends to finance the project through internally generated funds and/or bank borrowings, as required.
Its board said it did not foresee any material risks arising from the contract beyond the normal operational risks associated with its business.
The contract is being undertaken in the ordinary course of business and does not require shareholders' approval. Pioneer also said none of its directors or major shareholders, or persons connected to them, has any direct or indirect interest in the contract.