SINGAPORE - Mainboard-listed Koh Brothers Group has secured a $1.12 billion project from Changi Airport Group (CAG), through an integrated joint venture with Samsung C&T Corporation, for development works on three-runway operations at Changi Airport.
The group, through wholly-owned subsidiary Koh Brothers Building & Civil Engineering Contractor (Pte) Ltd., has a 30 per cent equity stake in the joint venture.
The award win by the JV is the first of several contracts to be awarded by CAG for the development of a three-runway system at Changi Airport by the early 2020s.
The scope of works include the extension of Runway 3 and the development of a supporting taxiway system linking the runway to the existing Changi Airport, all of which will total about 40km.
In addition, the JV works will include security fencing and perimeter roads, mechanical and electrical works and supporting works (such as major services and road diversions). It will also develop ancillary buildings such as airfield lighting control centres, fire station and rescue facilities.
This is Koh Brothers' second contract secured from CAG, the first being the construction of a retention pond at Changi Airport.
Koh Brothers said that with its share of the project, its construction order book will increase to $632.0 million.
Said Mr Francis Koh, managing director and group CEO of Koh Brothers: "We have crossed a significant corporate milestone with this project, representing the largest contract secured by the group to-date."
"We will tap on our strength in civil engineering works and specialised capabilities in drainage work for the upcoming construction of the runway's canals and drainage systems. Our past track record for Punggol Waterway and Geylang River, amongst others, will stand us in good stead to manage this mega development well.