KUALA LUMPUR: Gamuda Bhd (KL:GAMUDA), through its consortium, has secured the contract for the first civil works package of the Penang Light Rail Transit (LRT) project. The contract, valued at RM8.31 billion, marks a significant milestone for the long-awaited infrastructure project.
SRS Consortium Sdn Bhd, a joint venture with Gamuda holding a 60% stake, will oversee the construction of the Mutiara Line. Spanning 24 kilometers from Komtar in George Town to Island A of the Penang South Reclamation (PSR) project, the line will include 19 stations and other related facilities.
Expediting the Project Implementation
“This contract aims to simplify and accelerate the initial execution of the project,” said Transport Minister Anthony Loke Siew Fook during the signing ceremony. The project is expected to ease Penang Island’s persistent traffic congestion.
Once the notice to proceed is issued, Gamuda will have six years to complete the project. Loh Phoy Yen Holdings Sdn Bhd and Ideal Property Development Sdn Bhd each hold 20% stakes in SRS Consortium, while MRT Corporation Sdn Bhd (MRT Corp) acts as the developer and asset owner for the Mutiara Line.
Future Tender Packages
The tender for the second civil works package, which will connect Macallum Station in George Town to Penang Sentral in Seberang Perai, is scheduled for July, with the award expected by early next year. The third package, a turnkey systems contract, will cover design, construction, and maintenance of the railway systems.
The Mutiara Line will ultimately feature 21 stations over 29.5 kilometers. However, the final land acquisition costs remain undecided.
Federal Government Takes the Lead
The federal government officially assumed responsibility for the project in March 2024, transferring ownership from the state government. MRT Corp, fully owned by the Minister of Finance Incorporated, will manage the project, which will be executed through an open tender process.
Datuk Mohd Zarif Hashim, CEO of MRT Corp, highlighted that the direct project management approach would ensure seamless coordination and integration across various work packages. Priority will also be given to Penang-based subcontractors, creating local job opportunities and strengthening the supply chain.
Additionally, the federal government has mandated that 40% of subcontracts be allocated to Bumiputera companies, reaffirming its commitment to equitable participation.
Gamuda’s Commitment
Gamuda views this award as recognition of its technical expertise and proven track record in delivering complex infrastructure projects.
“The Mutiara Line is transformative for Penang’s public transportation. We are dedicated to delivering the project within budget and on time, enhancing connectivity and supporting Penang’s broader transportation master plan,” Gamuda stated.
The completion of the Mutiara Line is set to significantly improve mobility, contributing to the state’s economic growth and alleviating traffic congestion across Penang Island.
