Benalec seals RM36.6m Malacca reclamation project

KUALA LUMPUR (Oct 31): Benalec Holdings Bhd has sealed a RM36.60 million contract to reclaim 60 acres of land'' on the coast of Pulau Konet, Alor Gajah, Malacca.

Benalec said on Monday, its unit Benalec Sdn Bhd had sealed an agreement with Anzeco Coal Terminal Bhd, a unit of Anzeco Corporations (M) Sdn Bhd, to undertake the reclamation.

'The contract sum for the reclamation works to be executed by Benalec shall be at RM36.60 million only which shall include all cost and expenses and payment,' it said.

To recap, on Feb 1, 2010, the Melaka state government had signed a reclamation agreement with Anzeco Corporations where the latter was given the right to reclaim that portion of the coast of Pulau Konet measuring 60 acres.

Benalec said the reclamation would start within four weeks from the date of the agreement or upon Anzeco obtaining all necessary approvals, whichever is later. The reclamation was expected to be completed within 18 months.

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CIMB Research has Technical Sell on Benalec

KUALA LUMPUR: CIMB Equities Research has a Technical Sell on Benalec Holdings at RM1.06 at which it is trading at a price-to-book value of 2.2 times.

It said on Wednesday, Sept 21 that after featuring Benalec as a technical sell stock on Sept 7, prices broke below the sideways channel.

'The current downtrend does not look complete yet and we expect the candles to fall towards RM1.00 next. The following support levels are 96 sen and 91 sen,' it said.

CIMB Research said the technical landscape is deteriorating fast. MACD signal line is falling deeper into the dungeon while RSI is below the 30pts mark.

'Our strategy here is to unload on strength, preferably near the RM1.10-RM1.14 levels. Prices need to swing back above the support-turned-resistance channel before we would re-evaluate our call,' it said.