Yongnam obtains contracts in Singapore and Australia

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Yongnam Holdings said on Wednesday that it obtained contracts valued at S$73.4 million, including its first foray into the Australian market, with a supply contract for infrastructure developments in Victoria state.

The Australian contract is to supply steel struts and strutting components for temporary earth retaining systems used in infrastructure developments in Melbourne, Victoria, it said in a filing to SGX after the market close on Wednesday.

The signing of the last Melbourne-based contract, which is valued at S$47 million, is expected to be completed in January, Yongnam said.

Seow Soon Yong, CEO of Yongnam, said the company was pleased to be making inroads into the Australian market.

“This is testament to our specialist structural civil engineering expertise in the development of a modular system of steel strutting components to accommodate various project conditions underground,” Seow said in the statement.

In addition, Yongnam obtained a contract in Singapore to supply, fabricate, deliver and erect structural steelwork for an integrated community and sports facility in Sembawang, it said.

That contract was awarded by China Construction (South Pacific) Development and it is expected to be completed by the first quarter of 2020, Yongnam said.

Yongnam also obtained a structural steelwork contract for launching 14 sets of fixed gangways for Changi Airport Terminal One Phase 4 Fixed Gangway, it said, adding the contract was awarded by PBT Engineering and was expected to be completed in 2021.

Seow noted the two Singapore-based contracts were from repeat customers.

The contracts are expected to positively impact Yongnam’s financial performance in the current financial year, it said.

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