AORB Signs MOA With Kota Kinabalu Mayor For RM360 Mln Revitalisation Project
KUALA LUMPUR, July 30 (Bernama) -- Alpha Ocean Resources Bhd (AORB) has signed a memorandum of agreement (MoA) with the Mayor of Kota Kinabalu for a proposed revitalisation project involving the development of a tuna and deep-sea fishing landing port, a marine tourism infrastructure, and a hospitality belt.
AORB said the agreement signed today involves a proposed 30-year concession on two land parcels in Kota Kinabalu, with an option to extend for a further 30 years, subject to mutual agreement, and estimated the total cost of the project and concession at RM360 million.
“The Mayor is currently applying for the alienation of the lands to facilitate the implementation of the revitalisation project,” it said in a filing with Bursa Malaysia today.
The company noted that execution of the MoA forms part of AORB’s strategic diversification of its business into the enhancement, upgrading, operation, management and maintenance of such facilities.
This collaboration with the Mayor will leverage AORB’s expertise in the seafood industry to support the revitalisation project and the concession, create a platform for sustainable growth, and expand AORB’s presence in Kota Kinabalu, contributing to the city’s economic development, it said.
Events of default include failure to execute the agreements within the prescribed term, non-approval by relevant authorities, or any material delays deemed to render the project financially unviable.
“In the event this MoA is terminated due to an event of default arising from any breach, wilful default, gross negligence, or failure to act by the Mayor, the Mayor shall bear all reasonable and properly documented costs and expenses incurred by AORB concerning the MoA, the revitalisation project, the concession, preliminary works, or any related undertaking,” it said.
The company added that the MoA is not expected to have any immediate material effect on its share capital, earnings per share, or net assets for the financial year ending June 30, 2026.
Documents related to the MoA will be available for inspection at AORB’s registered office in George Town, Penang, for a period of three months.
-- BERNAMA