Ahmad Zaki ( AZRB ) building new flyover

Work on the new Istana Negara-Jalan Duta flyover in Kuala Lumpur is in full swing and is due for completion next February in time for the new palace.

On June 17, Works Minister Datuk Shaziman Abu Mansor said the new Istana Negara would be built at a cost of RM812mil.

He explained that the initial RM400mil that was announced in 2006 was based on an estimate made 15 to 20 years ago. Since then the cost of construction and materials have gone up which contributed to the project’s cost escalation.

The Works Ministry had in August last year awarded the new flyover project, which was estimated to cost RM106mil, to construction firm Ahmad Zaki Resources Bhd.

According to Ahmad Zaki managing director Datuk Wan Zakariah Wan Muda, the company was also involved in the upgrading and expansion of the Jalan Duta/Jalan Kuching road two years ago.

He said AZRB was looking at several road privatisation jobs locally, and also private finance initiative (PFI) and public private partnership (PPP) projects.

Ahmad Zaki targets RM500mil to RM600mil worth of contracts this year to augment its book value.

It has a construction order book of RM1.3bil that will keep it busy for the next three years.

It has recently being awarded six UiTM campus jobs on a PFI basis, and is bidding for two other PFI jobs – an integrated transport terminal at Gombak and the International Islamic University campus.

Other projects may include a RM100mil affordable housing job in Terengganu where Ahmad Zaki has a strong foothold.

The company is also keen to expand on its overseas ventures and is bidding for several building, infrastructure and civil engineering contracts in the Middle East and India.

For the financial year ending Dec 31, Ahmad Zaki expects to record double-digit growth in its earnings, boosted by new projects in hand.

It posted a net profit of RM20.7mil on revenue of RM458.1mil for FY2009.



By ANGIE NG
angie@thestar.com.my