KUB Malaysia Bhd is still awaiting approval from the authorities for the proposed RM1.23 billion inter-city rail transit system project in Johor Baru that it plans to undertake with Malaysia Steel Works (KL) Bhd (Masteel).
“Masteel is taking a lead role in this. We have yet to make any headway with regard to the project. Whatever Masteel has announced, which is basically providing some presentations to the Transport Ministry, it is still where it is at the moment. We are still part of the consortium; we are just awaiting further approvals from the authorities,” KUB president and group managing director Datuk Abdul Rahim Mohd Zin told reporters at a press conference yesterday.
He added that KUB is still active in discussions with Masteel and it is still a joint venture partner.
Abdul Rahim said while development plans have been formulated, it has yet to make any significant investment in the joint venture.
“We have conceptualised the forward strategy plans but the details are in the execution. If we think that it is not viable, we will not proceed or we will look at other alternative investments. That’s the plan for now,” he added.
The rail transit network project will link Iskandar Malaysia in Johor and Woodlands in Singapore but has yet to take off since it was announced in 2011. The project is led by joint venture company Metropolitan Commuter Network Sdn Bhd in which KUB holds a 40% equity stake. The remaining 60% stake is held by Masteel.
Last month, Masteel said in a filing with Bursa Malaysia that it has presented its town planning scheme to the senior management of Railway Assets Corp. The town planning scheme is for the Kempas land that has been earmarked for construction of the proposed commuter train depot and other assets as required by the Transport Ministry.