Sapphire wins 2 new rail infrastructure contracts worth $176 mil

Sapphire wins 2 new rail infrastructure contracts worth $176 mil

Stanislaus Jude Chan
12/10/17, 05:54 pm

SINGAPORE (Oct 12): Sapphire Corporation’s wholly-owned subsidiary, Ranken Railway Construction Group Co., has won two rail infrastructure contracts in China totalling RMB 856 million ($176 million).

The new contracts lift Ranken’s order book to a record high of RMB 3.4 billion.

See: Sapphire eyes China railway deals, cuts mining stake, mulls HK listing

The first contract, worth RMB 561 million, will see Ranken build part of the 24.5km Dalian Metro Line 5, including the construction of two stations along the line.

Ranken will also build the section connecting Ganjingzi Station to Shanhua Street Station, and the section linking Ganjingzi Station to Barracuda Bay Station.

In addition, Ranken has secured part of the municipal construction contract worth RMB 295 million for the second phase of 13.35km Urumqi Airport Rail Transit Line 2.

Under the contract, Ranken will build a 3.6km interval between International Airport Station and Terminal 4.

The contracts are scheduled for completion in Nov 2019 and Dec 2019, respectively.

Sapphire Corp says the new projects are expected to have a positive impact on the group’s earnings per share and net asset value per share for the financial years ending 2018 and 2019.

“The rail network is still expanding fast and will cover most of the main cities under the existing infrastructure plans in China. These recent projects have expanded Ranken’s railway contract portfolio by more than RMB 1 billion in just one month,” says Teh Wing Kwan, group CEO and managing director of Sapphire.

Shares in Sapphire Corp closed half a cent lower at 28.5 cents on Thursday.

Treasure hunting

British collector and expert Harry Fane talks about what it takes to be the world’s foremost authority on vintage Cartier creations and how to spot a good investment buy at his Vintage Cartier Tank watch exhibition at Dover Street Market Singapore (May 20): Harry Fane’s love affair with Cartier began at the tender age of 17. It was the 1970s and his best friend showed up one day, decked out in two must-have items of the era: a pair of Gucci shoes with a gold buckle — “the height of fashion at the time” — and a Cartier watch. “I remember going, ‘Gosh, I really want both of....

Next stop: The interchange of public and private good

SINGAPORE (May 20): Two-minute intervals between trains. Fewer breakdowns. Clean, new buses running at a higher frequency. Bright LED screens displaying details of stops on both buses and trains. To many commuters who are enjoying these benefits, the meltdown of Singapore’s transport system in December 2011, and again in July 2015, is a distant memory. Certainly, services have improved significantly. There are new trains and buses, while existing ones have been spiffed up. There has been an overhaul of the older rail systems, presumably including fixing the grips for the electricity rail ....

Failed Innopac deal portends mining magnate Gutnick’s woes in Australia

SINGAPORE (May 20): The Australian Securities and Investments Commission (ASIC) is seeking judicial permission to wind down mining company Merlin Diamonds. The regulator is also probing into whether its chairman Joseph Gutnick failed in his duties. Gutnick, who is known as “Diamond Joe”, is under investigation for a A$13 million ($12.3 million) loan made by Merlin to AXIS Consultants, a private company linked to him. Merlin shares have been suspended from trading since October 2018. ASIC is seeking an order to appoint Deloitte to liquidate Merlin, owner of the Merlin Diamond Mine Pro....