The RM30.4 million subcontract Minetech Resources Bhd obtained from Mutual Premium Sdn Bhd (MPSB) to construct a secondary school in Perak has been officially ended, according to Minetech Resources Bhd.
Minetech claimed in a bourse filing that MPSB had notified them the project was no longer feasible owing to the current adverse economic and market conditions.
On May 15, 2020, the company received the subcontract to build the 36-classroom SMK Pelangi Perdana in Parit Buntar.
According to Minetech, MPSB notified them that the Covid-19 epidemic and the movement control order that has been enforced since early 2020, have had a significant impact on the project.
The group claimed there were no charges or expenses incurred and that no work had been done thus far.
Minetech's shares closed unchanged at 5.5 sen, granting an RM59.92 million market value to the group.
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