BURSA ANNOUNCEMENTS

We refer to the announcement dated 9 September 2016 in relation to the award of project by ECERDC to TCB and Ikatan Gemajaya Sdn. Bhd. (595641-A) (“IGSB”) (collectively referred to as “the Parties”) for the construction of the Works. Unless otherwise stated, the terms used herein stated herein shall have the same meaning as defined in the said announcement.

The Company wishes to announce that TCB had on 7 November 2016 entered into the JVA with IGSB. The salient terms of the JVA are summarised as follows:

(1)       Obligation of the Parties

            The Parties shall commence and perform the Works which include all necessary procurement, construction, installation, testing and commissioning works and providing all labour and materials in such manner and to such standards as required under the Works.

(2)       Advance Payment and Recoupment

            The Parties agreed that upon the apportionment of the advance payment, they shall procure their respective banker’s guarantee according to the agreed proportion with a combined sum of RM10 million.

(3)       Termination by Breach

            In the event of any material breach by a defaulting Party, the defaulting Party shall remedy such breach within 30 days after the service on it of any written notice thereof by the other Party.

(4)       Indemnity arising from Default

            Each Party shall indemnify and keep the other Party fully indemnified from and against any loss, damage or liability suffered and all legal fees, costs and expenses that may be incurred by the other Party resulting from breach of the defaulting Party’s obligations under the JVA.

This announcement is dated 7 November 2016.