SINGAPORE: Memiontec Holdings Limited, a one-stop water technology total solution provider for water management, has recently secured three new contracts (“Contracts”) in Indonesia and Singapore, with a combined contract value of approximately S$17.8 million.

The Contracts comprise the following:

• Contract signed with a new customer in Indonesia that is a joint venture formed by two reputable engineering & construction companies. The contract value amounted to Indonesian Rupiah (“IDR”) 120 billion (equivalent to approximately S$11.0 million based on an exchange rate of IDR10,900 : S$1.00). The scope of work includes engineering, procurement, construction and testing, and commissioning, followed by operating and maintaining a centralized wastewater treatment plant in Palembang City, Sumatra, with an associated pumping station.
• (ii) Contract signed with a new customer that is a water operator company in Jakarta, Indonesia. The contract value amounted to IDR 24.5 billion (equivalent to approximately S$2.2 million based on an exchange rate of IDR10,900 : S$1.00). The scope of work involves the provision of Total Solutions Engineering, Procurement and Construction (“TSEPC”) service to build both water and wastewater treatment plants that adopt the Ultra-filtration (“UF”) and Reverse Osmosis (“RO”) technologies.
• (iii) Contract awarded to the Group pursuant to a recent tender that the Group won in Singapore that involves the supply, installation and testing and commissioning of the new RO membrane modules for a NEWater plant. The contract value amounted to S$4.6 million.

The Contracts are expected to increase the Group’s revenue for the financial years ending 31 December 2020, 2021 and 2022, under the Group’s TSEPC and Operations, Maintenance and Service (OMS) segments, as the construction works for the Contracts are expected to be carried out progressively during the aforesaid financial years.

Barring any unforeseen circumstances, the Contracts are expected to have a positive impact on the Group’s earnings per share for FY2020, while the impact on the Group’s net tangible assets per share for FY2020 is not expected to be material. With the inclusion of the Contracts, the Group’s order book currently stands at approximately S$65.0 million as at the date of this announcement.

Memiontec Holdings was recently listed on the Catalist Board of the Singapore Exchange on 5 March 2020. Securing the Contracts in both its main operating countries, being Indonesia and Singapore, not long after its successful listing is a testimony to the Group’s clients’ continuing confidence in the Group’s technologies, capabilities, track record and brand recognition in the regional water industry.

The Group shall continue to focus on the increasing demand for water and waste treatment services in Indonesia’s municipal sectors.