Singapore-listed Anchor Resources is optimistic of clinching deals to supply granite aggregates and granite dimension stones to the East Coast Rail Line (ECRL) project in Malaysia.

After Malaysia and China agreed to a lower cost of MYR44 billion for the project, suspended work is expected to resume next month (May 2019) and complete in 2026.

Before the project was suspended in July 2018, Anchor Resources had supplied 200 tonnes of quarry aggregates to China Communications Construction (ECRL) Sdn. Bhd., the main contractor undertaking the ECRL project.


LimChiauWoei8.18Lim Chiau Woei, MD of Anchor Resources: "I believe we stand a high chance due to our track record previously in supplying granite aggregates to ECRL." NextInsight file photoMr Lim Chiau Woei, MD of Anchor Resources, said, “The resumption of the ECRL is a positive development and the Group is poised to be one of the beneficiaries to supply granite aggregates and granite dimension stone to ECRL and other infrastructure projects. I believe we stand a high chance due to our track record previously in supplying granite aggregates to ECRL."

The 640-km ECRL starts in Kota Baru in Kelantan, winds its way south through the states of Terengganu and Pahang before turning westwards and reaching Port Klang on the west coast of Peninsula Malaysia. 

In addition, "the revival of the multi-billion-ringgit Bandar Malaysia and the emphasis for local content and materials will boost demand for construction raw materials, presenting great business opportunities to players like us,” said Mr Lim.

Stock price 

1.7 c

52-week range

1.6 - 4.0 c

PE (ttm)

--

Market cap

S$18.5 m

Shares outstanding

1.09 b

Dividend 
yield 
(ttm)

--

1-yr return

-26%

Source: Bloomberg

To better capture opportunities, Anchor Resources has renewed the Memorandum of Understanding with Mr Mohd Sukri Bin Ismail, which was originally signed on 9 April 2018, to combine their respective resources in tendering for the ECRL and other infrastructure projects in Malaysia.

Mr Mohd Sukri is a quarry licence holder for two quarry leases with a total area measuring approximately 146,590 square metres in Hulu Terengganu. 

Anchor Resources’ wholly-owned subsidiary, GGTM Sdn Bhd, has a government concession for the extraction of granite aggregates and dimension blocks from the 258-acre Bukit Chetai quarry and the 484-acre Bukit Machang quarry.

• For more info, see press release.
• Read about our visit to the granite quarries: 


Share Prices

Counter NameLastChange
AEM Holdings1.000-0.050
Alliance Mineral0.145-0.006
Anchor Resources0.013-
AusGroup0.026-0.002
Avi-Tech Electronics0.2800.015
Best World Int.1.360-
China Sunsine1.120-
CSE Global0.475-0.015
Food Empire0.495-0.005
Geo Energy0.150-0.001
Golden Energy0.215-0.010
GSS Energy0.086-0.002
HMI0.6500.005
ISDN Holdings0.230-
KSH Holdings0.415-0.005
Miyoshi0.043-0.001
Moya Asia0.075-0.003
Nordic Group0.280-0.020
Oxley Holdings0.325-0.005
REX International0.073-0.001
Riverstone0.9950.010
Roxy-Pacific0.390-0.005
Sing Holdings0.3950.010
SingMedical0.385-0.005
Sino Grandness0.042-0.002
Straco Corp.0.750-
Sunningdale Tech1.330-0.010
Sunpower Group0.470-0.005
The Trendlines0.077-
Tiong Seng0.2300.005
Uni-Asia Group0.755-0.005
XMH Holdings0.153-
Yangzijiang Shipbldg1.520-

NextInsight RSS

rss_2 NextInsight - Latest News

Online Now

We have 738 guests and no members online