1. Introduction

The Board of Directors of Minetech is pleased to announce that Coral Evergreen Sdn Bhd (formerly known as Minetech Builders Sdn Bhd) [Registration No. 201401021348 (1097434-A)], an indirect wholly-owned subsidiary of the Company has on 3 May 2021 accepted the Letter of Acceptance dated 3 May 2021 (“LOA”) from Azan Engineering Sdn Bhd [Registration No. 200701037130 (795159-P)] (“AESB”) to undertake the construction works of the project “Cadangan Pembinaan Fasa Kedua Institut Kemahiran Islam Sarawak” at a contract value of RM33,687,910.43 (“Project”).

The Project is expected to commence upon receipt of Official Order to commence with works from AESB, and the Project shall be completed on 18 March 2024.

2. Financial Effects

The Project is expected to contribute positively to the revenue, earnings and net assets of the Company and its subsidiaries (“Minetech Group”) for the financial year ending 31 March 2022.

The Project will not have impact on the share capital and/or shareholding structure of Minetech.

3. Risk Factors

There are no foreseeable significant risks other than operational risk associated with the Project during the contract period. Minetech Group management would put in place control measures and operational procedures to reduce the impact or likelihood of such events.

4. Directors’ and/or major shareholders’ interests

None of the Directors and/ or Major Shareholders of Minetech and/or persons connected to them have any interest, direct or indirect, in the Project.

5. Directors’ Statement

The Board of Directors, after considering amongst others, the potential financial benefits arising from the Project, is of the opinion that the acceptance of the LOA is in the best interest of Minetech Group.

This announcement is dated 3 May 2021.