Hiap Teck secures steel mill job

Hiap Teck Venture Bhd's 55 per cent owned subsidiary, Eastern Steel Sdn
Bhd, has entered into two contracts for the design, procurement and
construction of the first phase of an integrated steel mill in Teluk
Kalung, Kemaman.

The RM417.832 million engineering and
procurement contract and the RM232.000 million construction contract
were entered into with China Shougang International Trade and
Engineering Corporation, Hiap Teck said in filing to Bursa Malaysia
today.

"The completed integrated steel mill would have a total
annual capacity of 3.5 million tonnes of steel. "Project plant is
expected to be completed by 2013," it said.

It said the project plant would be proportionately funded by the respective shareholders of Eastern Steel.





Hiap Teck will fund its 55 per cent portion via a fund raising exercise
involving a proposed rights issue with warrants and the proposed
issuance of convertible bonds as announced on Jan 28, and internally
generated funds. -- Bernama