Three companies shortlisted for Langat 2 water project

The three firms are undergoing final negotiations with the Ministry of Finance

KUALA LUMPUR:  Three companies — Salcon Bhd, MMC Corp Bhd and Ahmad Zaki Resources Bhd (AZRB) — are believed to have been shortlisted out of the 13 companies that are bidding for the RM1.2 billion Langat 2 water treatment plant project.

It is understood that the three firms are now undergoing final negotiations with the Ministry of Finance (MoF), a source familiar with the deal said.

The source said Salcon, with its technical expertise, is expected to be the lead partner in the Langat 2 project with a 38% stake, which is estimated to be worth between RM380 million and RM400 million.

Earlier, it was reported that five companies were shortlisted by Pengurusan Asset Air Bhd for the 1,130 million litres per day water treatment plant, which is part of the larger Langat 2 water treatment facility.

Salcon is a water and waste water engineering company. Apart from Malaysia, Salcon operations are also located in China, Vietnam and Sri Lanka.

MMC Corp operates as a utility and infrastructure company primarily in Malaysia while AZRB operates as a contractor of civil and structural construction works.

The Langat 2 plant was planned way back in 2000 based on experts findings that it would be the best remedy to treat raw water from Pahang to meet demand due to rising population and industrial development in Putrajaya, Kuala Lumpur and Selangor.