Steel products and equipment maker Prestar Resources Bhd has bagged contracts worth about RM80 million to supply guardrails and accessories for the development and upgrading of the proposed Pan Borneo Highway in Sarawak.

In a statement today, the group said its wholly-owned unit Prestar Engineering Sdn Bhd (PESB) has signed two supply agreements with Pansar Company Sdn Bhd — a unit of Pansar Bhd. It was also awarded contracts by LTC West Gate Sdn Bhd and Kemakmuran 2000 Sdn Bhd.

It said PESB will supply and deliver guardrails and accessories to four work packages for the Pan Borneo Highway project, namely the Pantu Junction to Batang Skrang stretch, Sungai Kua Bridge to Sungai Arip Bridge, Semantan to Sungai Moyan Bridge, and Sungai Awik Bridge to Bintagor Junction. 

The contracts are expected to last until Dec 31, 2021.

Prestar group managing director Datuk Toh Yew Peng said the agreements and contracts are expected to contribute positively towards the future earnings of the group for the financial years ending Dec 31, 2020 and Dec, 31 2021, or until the expiry of the respective agreements and the contracts.

“Prestar will continue to participate in the open tender for the supply of guardrails for future packages of Pan Borneo Highway in Sabah,” he added.

Pan Borneo Highway is a road network on Borneo Island, connecting Sabah and Sarawak with Brunei and the Kalimantan region of Indonesia. Work on the Pan Borneo Highway in Sarawak, which spans 786.41km, was awarded in 11 packages and construction began in October 2015.

Prestar shares closed 1.25% or 0.5 sen higher at 40 sen today, giving it a market capitalisation of RM78.55 million.