Cost cutting is not because of smaller margin, it is because of scope reduced. double track to single track, by right should be way way cheaper but since the chinese got "pocket" to feed, they cant reduce margin. Sames goes to LRT3 and MRT2, alot of people think it is cost cutting but it is actually reducing SCOPE, cutting down on useless station.
PUTRAJAYA: Malaysia Rail Link Sdn Bhd and China Communications Construction Company Ltd have signed a supplementary agreement that will pave the way for the resumption of the East Coast Rail Link (ECRL) project.
The signing was achieved after months of negotiations between the companies involved as well as the governments of Malaysia and China, said the Prime Minister’s Office (PMO).
“We are pleased to announce that the construction cost of Phases 1 and 2 of the ECRL has now been reduced to RM44bil.
“This is a reduction of RM21.5bil from the original cost of RM65.5bil.
“This reduction will surely benefit Malaysia and lighten the burden of the country’s financial position,” said the PMO in a statement Friday (April 12).
The supplementary agreement covers the engineering, procurement, construction and commissioning aspects of the ECRL, it added.
The PMO also said that further details of the improved deal will be made known at a press conference next Monday (April 15).
Prime Minister Tun Dr Mahathir Mohamad is expected to give the press conference.
According to earlier reports, Phase 1 of the 688km rail line will be from Klang Valley to Kuantan while Phase 2 will cover Kuantan to Kuala Terengganu.
The project’s Phase 3 will see the rail line connecting Kuala Terengganu to Kota Baru and Tumpat.
no doubt Econ is fundamentally strong, i'll be back after clear next risk. 1 risk down (ECRL jalan). Next risk, will econpile contract be renegotiated (most likely will), if so, how much? then next is coming quarter results will definitely not be good, want to see if the results show sign of recovery in earnings not.
This book is the result of the author's many years of experience and observation throughout his 26 years in the stockbroking industry. It was written for general public to learn to invest based on facts and not on fantasies or hearsay....
Vivoforever1
360 posts
Posted by Vivoforever1 > 2019-04-12 12:27 | Report Abuse
Sold for 5 sen buta money. Buy Vivocom 2.5 sen for more gain from ECRL.