[SINGAPORE] A unit of mainboard-listed infrastructure and civil engineering company OKP has won a contract worth S$258.3 million from the Land Transport Authority (LTA) for the construction of new cycling path networks in the eastern region of Singapore.
This is the largest contract in value that OKP has secured to date. It also marks the fourth contract that its subsidiaries have been awarded by LTA for the construction of cycling path networks across Singapore, amounting to a total of S$617.8 million.
Under the latest contract secured, OKP’s wholly owned subsidiary – Or Kim Peow Contractors – will be involved in the design and construction of the cycling path networks in the east, as well as other ancillary works, the group said in a bourse filing on Friday (May 30).
The cycling paths will be constructed across 11 towns – Sengkang, Hougang, Serangoon, Potong Pasir, Geylang, Kaki Bukit, Marine Parade, Bishan Industrial, Tampines Industrial, Pasir Ris Industrial and Bedok Industrial.
The scope of the contract includes converting existing footpaths to cycling paths and creating new pedestrian footpaths through “careful space planning” with stakeholders and landowners, said OKP.
The works also encompass infrastructure improvements such as grating replacements, retaining walls, drainage enhancements and cycling path finishes such as signages, high strength coating and thermoplastic marking.
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The contract, which spans 72 months, commenced on May 27 and is expected to be completed by May 26, 2031.
With this latest award, the group’s net construction order book has reached a record high of S$735.8 million, with contracts extending till 2031.
OKP’s group managing director Or Toh Wat said: “This contract win is expected to contribute positively to both our top and bottom lines, reinforcing our growth trajectory.”
“Securing this fourth contract from LTA for the construction of cycling path networks strengthens our role in contributing to a greener and more sustainable land transport ecosystem,” he added.
The group was previously awarded a S$92.9 million contract for the construction of cycling path networks in western Singapore; S$78.3 million contract covering the regions of Central, Kallang, Bukit Merah and Bukit Timah; and a S$188.3 million contract for works across seven towns in the east region.
Shares of OKP closed at S$0.725, up S$0.01 or 1.4 per cent on Friday, before the announcement.
