Ekovest to build RM3.7b expressway, concession 53 years

Ekovest Bhd will build the Setiawangsa-Pantai Expressway at a cost of RM3.738bil and the concession period with the government will be 53 years and six months.

The infrastructure company said on Monday its unit had signed a concession agreement with the Federal Government to build, operate and maintain the expressway, formerly known as the DUKE Phase-3.

“The concession agreement is expected to contribute positively to Ekovest group’s earnings and the net tangible assets for future financial years.

“The construction cost is expected to be financed via a combination of internally generated funds, borrowings and/or other fund raising exercise,” it said.

Ekovest said the SPE will be the first expressway in Malaysia to be designed to cater for full electronic tolling system and is envisaged to utilise the multi-lane free flow system upon its opening in 2020.

The Ekovest group is one of the pioneers to use the full electronic tolling system at its existing Duta Ulu-Kelang Expressway Phase 1 since September 2015.
In November 2013, it was reported Ekovest submitted two proposals worth about RM2bil to further expand the Duta-Ulu Kelang Expressway (DUKE) in the southern part of Kuala Lumpur.

“We have proposed to the Government, and we are waiting for feedback. Definitely, DUKE is going for expansion and we will not stop at only DUKE 2,” managing director Lim Keng Cheng was reported to have told reporters after the company’s EGM then. - By The Star