PETALING JAYA: KJTN Engineering Co Ltd, a subsidiary of KJTS Group Bhd, a building support services provider in Malaysia, Thailand and Singapore, has signed an agreement with Central Plaza Hotel Pcl (Centel) for retrofit works, provision of operation and maintenance services for the chiller plant and supply of chilled water at Centara Grand Mirage Beach Resort Pattaya for 20 years.
Centel, a Thai hospitality business entity that has been operational for over 31 years, is part of Central Group, one of Thailand's largest private commercial conglomerates with more than 50 subsidiaries with diverse investments in various corporations domestically and internationally.
The partnership underscores KJTN Engineering's expertise and commitment to delivering innovative and eco-friendly solutions in the building support services industry.
The project follows KJTN Engineering’s first contract with Central Group at Centara Grand Hotel in Bangkok, a 15-year agreement for retrofit works, provision of chiller operation and maintenance services and supply of chilled water, which was signed on Jan 31.
Under the latest agreement, KJTN Engineering will finance the retrofit works amounting to 38.98 million baht (about RM4.9 million). During the operational and maintenance services period, KJTN Engineering will charge a fixed monthly fee of 620,072 baht). In addition, a monthly variable fee will be charged based on the quantity of chilled water supplied. The total fixed fee over 20 years will be 148.82 million baht.
The retrofit works are set to begin on Oct 1 and are expected to complete by May 31, 2025. The O&M services and chilled water supply will commence on June 1, 2025 and are expected to complete by May 31, 2045, at which time ownership of the chiller plant will be transferred to Centel.
KTJN Engineering director Kitti Chungsawanant said the venture is poised to bolster KJTS’s position in the market, reflecting the strategic focus on expanding the group’s services and influence across Malaysia, Thailand and Singapore.
KJTS announced a profit after tax of RM3.5 million for its second quarter ended June 30, 2024, with significant contributions from its cooling energy segment, generating revenue of RM11.95 million, and cleaning services, bringing in revenue of RM14.23 million.
