The Big 5 Show

Global presence

The Astaka Morocco ... few of PECD’s notable works.

Malaysian construction giant PECD Berhad will set up one of the more prominent stands within the Malaysian pavilion, when the Big 5 opens later this month.

The company, which specialises in construction, property development, engineering, procurement, construction and commissioning (EPCC) services, will showcase projects it has completed in its home country and also the ones it is currently carrying out within the Palm Jumeirah and the Dubai International Financial Centre (DIFC).
“The PECD group will be promoting the services it offers in the construction, property development and EPCC sectors during the show. We are reputed for delivery of projects of the highest professional and quality standards and have many landmark projects to vouch for this claim. PECD has been successful in delivering challenging projects that are characterised by their socio-economic importance, unique structure, state-of-the art technology and those that enhance the environment,” Ramli Ahmad, group managing director, PECD Berhad says.
PECD has established a global presence with approximately RM5 billion ($1.32 billion) worth of contracts completed so far. With a highly skilled and dedicated workforce of more than 1,000 employees and almost two decades of experience in the business, the company has completed projects ranging from infrastructure, building, power, water and waste water to property development as well as EPCC in the oil and gas sector.
“At PECD we are committed to learn and improve our methods and products through observing, listening and exploring ideas with our colleagues, customers and business partners. We are passionate in our efforts to exceed our customers’ expectations through innovation and creativity to provide solutions. We want to be the very best at helping people, as their partner in creating and realising their dreams,” Ahmad adds.
The list of PECD’s signature projects in Malaysia includes property development in Precinct 11 Putrajaya (accolades include the 2003 MIP Award and 2004 FIABCI Award), The Datai Langkawi, Labuan International Financial Park, InventQJaya, Manjung Power Plant and Astaka Morocco.
In Dubai, the company is involved in key projects including:
• Oceana – Palm Jumeirah: PECD made its debut in the multi-billion Palm Jumeirah projects in the first quarter of this year, when it secured the advance works contract worth approximately Dh60 million ($16.3 million) for the Oceania Hotel and Luxury Apartment development. In addition, the company has recently secured additional contracts worth close to Dh270 million for general, preliminary and structural construction works.
• Dubai International Financial Centre: PECD is the main contractor for the construction of the four “Gate Precinct Buildings” of the DIFC. The projects with a contract value of Dh287 million are scheduled for completion in December.
• The Centre Hotel – Al Muteena, Deira: PECD has received a letter of acceptance for Package 2 in the redevelopment of the Centre Hotel and Residential Apartments project. The award for Package 2, general requirements, preliminaries and structure works contract is worth Dh64.6 million.
Other international projects have been undertaken in:
• Sudan (marine export terminal): In 2004, the group’s EPCC division was awarded a Dh836.9 million contract to construct a marine export terminal; and
• Indonesia (EPCCC of LPG storage facilities): PECD secured a contract worth over Dh3.9 million from Indonesia’s oil and gas company PT Bhakti Mingasutama for the construction and installation of liquid petroleum gas (LPG) storage facilities at the latter’s LPG terminal facility in Sukra, Indramayu, West Java. PECD Berhad, through its Indonesian outfit, PT Peremba Nusantara, recently secured a contract worth close to Dh 8 million from Indonesia’s design, construction and logistics company, PT Paranada Ekayasa for the supply of gas turbine generators and auxiliary equipment for PT Paranada’s centralised power generation project in the Tuban Block, East Java with joint-operations body (JOB) Pertamina-Petrochina.
“The PECD group is widely regarded as one of the leaders in Malaysia which is evident from the success it enjoys overseas as well. By establishing our regional office in Dubai, we have further demonstrated our commitment to be a major player in the region. Already – based on the projects that the group is undertaking – PECD is to date the most successful Malaysian company in the UAE,” Ahmad points out. “This is PECD’s second appearance at the Big 5 which is the largest trade show for the construction industry in the region and PECD is proud to once again represent Malaysia together with the Malaysian External Trade Development Corporation (Matrade).”
Commenting on prospects for the company in the region, he says: “As PECD is still a relatively new player in the region, it will be focusing on creating awareness. It is also setting up an investment division to study opportunities to generate recurring income from investments in sectors like power, oil and gas, water and sewerage both in Malaysia and in the booming markets like Dubai. The outlook for the group remains positive with PECD being well placed to continue growing, both domestically and internationally. Business growth potentials for PECD will be focused on the international front.
“Our current projects in Dubai and Sudan mark significant developments for the group as it seeks to diversify its operation on the international front. The company’s involvement overseas has provided us with a new scale and exposure for growth. We believe that by 2006, approximately 70 per cent of the group’s revenues will be derived from overseas project.
“The business potential for the construction industry in the region is tremendous. The PECD group thus far has successfully carved its niche in Dubai and we plan to continue our success in the region.
“Our overseas operations would not stop with Dubai, Sudan and Iran. PECD has set sights on expanding into Qatar, Oman, Brunei, Indonesia, India and possibly Pakistan. To date, we have set up either regional or branch offices in the UAE, Indonesia, Sudan, Brunei and Iran as a prelude to increasing our investments in those markets or in their neighbouring countries. PECD will continue to bid for projects, both foreign and domestic, that are in line with our business strategies.”
The company’s strategy for future growth revolves around three main objectives: increasing its domestic and overseas order book; improving its overall margins; and moving higher up the value chain into areas such as engineering and investment in concession business that will provide recurring income.
 “We will venture into any market which has the potential and where we can implement our growth strategy,” he concludes.