Benalec unit secures TNB fuel coal transport contract
In a filing with Bursa Malaysia on Tuesday, the marine construction firm said the LoA was formally accepted on the same day.
"The contract duration is for a principal period of two years, commencing June 6, 2025 and ending June 5, 2027, with an option to extend for one year upon mutual agreement," it said.
Under the agreement, Benalec will transport 3.5 million metric tonnes of coal annually during the initial contract period, with TNB Fuel retaining the right to increase the volume by up to 20 per cent.
Freight rates under the contract will range from US$4.84 to US$88.75 per metric tonne, with payments made in ringgit based on the exchange rate quoted by Bank Negara Malaysia.
Benalec said the contract will not affect its share capital or shareholding structure.
"The contract is expected to contribute positively to the company's earnings and net assets for the financial year ending Dec 31, 2025 and subsequently until its completion," it said.
It added that no significant risks are anticipated, though the company will continue to monitor and manage any potential risks throughout the project's duration.
"The board of directors, having considered all aspects of the contract, is of the view that it is in the best interest of the company," Benalec said.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Malaysian Reserve
an hour ago
- Malaysian Reserve
Are parents ready to be the Bank of Mom and Dad?
YOUNG Americans are having trouble becoming fully independent adults. Millennials, who were long ridiculed for being boomerang kids who scurried back to mom and dad's basement after leaving the security blanket of college, know a thing or two about that. But the failure to launch trend is continuing with Gen Z, the latest cohort of 20-somethings taking out cash from the Bank of Mom and Dad. Over half of the adults in the generation reported that they don't pay for their own housing, according to a 2024 Bank of America (BOFA) study. In fact, parents of adult Gen Zers expect to give their children US$1,813 (RM7,703) a month in 2025, based on a March report by It's the highest level in three years and includes expenses for groceries, cell phones, rent and utility bills. This behaviour is not merely on account of arrested development. There are many factors at play, including the uncertainty around artificial intelligence (AI) and long-term employment prospects for entry-level jobs. It's a reality that raises a major question for current and prospective parents: Can you financially subsidise an adult child for the long-term? The cost of raising a child to 18 continues to rise and result in eye-watering predictions. Families spend an estimated average of US$26,000 annually on kids, which would equate to a total of US$468,000, according to recent analysis from SmartAsset. Those in high-cost-of-living areas or places with a scarcity issue for childcare pay even more. The average price tag of raising a child in Boston per year was estimated to be just under US$40,000 in 2025, for example. But this fixation on just getting a kid to 18 is such a narrow scope. According to Sallie Mae's annual 'How America Pays for College' report that analysed undergraduate data, parents helped their child pay for nearly 50% of college — a milestone that often lasts for more than the stereotypical four years — in 2024. Seven years ago, the company found that parents helped cover 31% of the cost. The average price of tuition and fees for a public four-year in-state college is US$11,610 for the 2024-2025 school year. Out-of-state schools cost nearly three times as much. Private nonprofit four-year colleges came with the highest price tag of US$43,350. After that life marker is passed, then the conversation of grad school — which costs an average of around US$43,000 a year — might come. While parents tend to cover this added expense less often, over the years articles, advice columns, social media posts and discussion boards have explored some version of this question: 'Should parents pay for graduate school too?' Whatever families' answers are, the expectation, at least, seems to be growing. And that's despite the fact that grad school itself may not be the answer to most young people's career woes. Keep in mind that this is what things cost currently. It's hard to imagine how much college will be for Gen Alpha. Looking at the last decade certainly doesn't paint an optimistic picture. The cost of a private nonprofit four-year degree was roughly US$13,000 more in the 2024-2025 school year than a decade prior. Approximately US$1,300 a year might not sound like much, but it represents a nearly 39% increase in a decade. The average public, four-year in-state school tuition has risen 27% over the same time period. Of course, generative AI could completely change the landscape of higher education before they get there. Trade and vocational schools could see increased enrolment as traditionally white-collar jobs lean more on technology. New grads are already at the forefront of seeing what it's like when a machine can take over entry-level (or higher) jobs. The unemployment rate for them hit 5.8% in March, which was a four-year high, according to the New York Federal Reserve (NY Fed). The other concern is underemployment, which is defined by the NY Fed as graduates working in jobs that typically do not require a college degree. A significant number of Gen Zers, 41.2%, are in this position. It's the making of the same conditions — recession woes and a tough job market post-The Great Recession — that kept millennial financially tethered to their parents well into adulthood and earned them criticism for draining their parents' retirement funds. Newer moms and dads might need to account for this. Americans believe they need US$1.26 million in order to retire comfortably, according to a 2025 Northwestern Mutual study. And yet, just over half think it is somewhat or very likely that they'll outlive their retirement savings, with 40% of boomers and 56% of Gen X reporting to have the concern. The gulf between what is needed to live a comfortable life and current retirement assets is wide. Boomers aged 61 to 79 have an average 401(k) balance of US$249,300 and average IRA (Individual Retirement Account) balance of US$257,002, based on Fidelity fourth quarter of 2024 data. Gen Xers have an average 401(k) balance of US$192,300 and an average IRA balance of US$103,592. Of course, members of both generations may be drawing down on their accounts already subsidising with Social Security or accessing pension funds in addition to these retirement accounts. It's a reminder that millennial and Gen Z parents of young children might need to structure their finances with long-term flexibility in mind. While the often-frustrating advice to 'figure it out as you go' holds some truth, too many moms and dads might be looking at their bundles of joy and rarely calculating the what ifs beyond the ages of 18 or 22. In reality, they should be bracing to keep the wallet open well into their child's adulthood, which may bring the possibility of delaying retirement. — Bloomberg This column does not necessarily reflect the opinion of the editorial board or Bloomberg LP and its owners. This article first appeared in The Malaysian Reserve weekly print edition
Malaysian Reserve
an hour ago
- Malaysian Reserve
The emergence of US-minus trade landscape
CHINA is expected to accelerate its economic and diplomatic engagement with ASEAN as part of a broader strategy to mitigate US-centric risk and build alternative trade corridors. At the same time, an emerging trend in the region is a 'US-minus' trade landscape — one in which regional blocs such as Southeast Asia, the Gulf Cooperation Council (GCC) and the European Union (EU) are actively deepening their economic linkages in response to US protectionism and unpredictability. These were some of the views expressed at a panel discussion recently organised by MARC Ratings Bhd when presenting global and market outlook for the second half of 2025 (2H25). Moderated by MARC Ratings chief economist Dr Ray Choy, the panel included Bank Negara Malaysia (BNM) assistant governor Mohd Fraziali Ismail, former Deputy Minister Dr Ong Kian Ming and University of Nottingham Asia Research Institute Malaysia honorary research associate Professor Dr Bridget Welsh. The session explored the intensification of trade tensions, US tariff strategies, supply chain recalibration and the regional response from ASEAN economies. The panel examined the far-reaching consequences of recent US trade policies, particularly those adopted under the Trump administration, which were characterised as being driven more by short-term political motives and optics rather than by coherent, long-term economic planning. Nonetheless, the panelists noted that these policies were exerting real and lasting pressure on global supply chains, prompting businesses and governments alike to reassess their dependencies and strategic trade relationships. Focusing on Malaysia, the panel members agreed that retaliation is unlikely to be effective or desirable, noting that a negotiated, sector-specific approach was identified as the more strategic path forward. Key among Malaysia's priorities should be securing exemptions from semiconductor-related tariffs, given the sector's importance to the national economy and its role in global technology supply chains. Additionally, there was strong emphasis on maximising existing trade frameworks — such as the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) — to boost exports, particularly in high-impact sectors such as palm oil. Malaysia was also encouraged to continue pursuing new free trade agreements (FTAs) to diversify its trade portfolio and enhance long-term resilience, according to a statement released by MARC Ratings. On monetary and financial policy, the statement noted that the panel observed that the ringgit remains predominantly influenced by external factors, including global monetary tightening, capital flows and investor sentiment. While domestic policy can play a role in managing short-term volatility, its ability to counteract structural global trends is limited, it added. — TMR This article first appeared in The Malaysian Reserve weekly print edition
New Straits Times
an hour ago
- New Straits Times
AstraZeneca unveils US$50bil investment as pharma tariff threat looms
WASHINGTON: AstraZeneca plans to spend US$50 billion to expand manufacturing and research capabilities in the US by 2030, it said on Monday, the latest big investment by a pharmaceutical company reacting to President Donald Trump's tariff policy. The investment will fund a new drug manufacturing facility in Virginia and expand research and development (R&D) and cell therapy manufacturing in Maryland, Massachusetts, California, Indiana and Texas, it said in a statement. It will also upgrade the Anglo-Swedish drugmaker's US clinical trial supply network and support ongoing investment in novel medicines. On Monday, AstraZeneca said the expansion supports its ambition to reach US$80 billion in annual revenue by 2030, with half coming from the US. The US accounted for more than 40 per cent of AstraZeneca's annual revenue in 2024, and the company had been prioritising the market – the world's largest, worth US$635 billion – before Trump's return to office. The move to scale up its US footprint is the latest by a drugmaker as Trump threatens to impose import tariffs on the industry and seeks to boost domestic manufacturing. The sector has historically been spared from trade disputes. Trump has called on pharma companies to make more of the medicines they sell in the US within the country, rather than importing active ingredients or finished medicines. He is also pushing for prices in the US to fall to what other countries pay. CEO Pascal Soriot announced the plans in Washington, saying he believes that drug prices need to rise elsewhere and "equalise" with other countries effectively contributing more to research and development costs. "The United States cannot build or carry the cost of R&D for the entire world," he said. US Commerce Secretary Howard Lutnick's department is leading a probe into pharmaceutical imports that could pave the way for new tariffs. "For decades Americans have been reliant on foreign supply of key pharmaceutical products. President Trump and our nation's new tariff policies are focused on ending this structural weakness," said Lutnick in a statement issued by AstraZeneca. While Trump has repeatedly threatened tariffs on the sector, he signalled earlier this month that companies would be given a year to 18 months to "get their act together" before any levies take effect. The company said that the timing and location of the announcement was linked to the US policy environment, though some of the spending would have occurred regardless so that the infrastructure for future medicines was in place. The pledge is in addition to the US$3.5 billion in investments the company announced in November 2024, the statement said. Pledges The US$50 billion pledge matches the commitment announced by Swiss rival Roche in April and follows new spending plans unveiled this year by Eli Lilly & Co, Johnson & Johnson, Novartis, and Sanofi. Also present at the announcement was Virginia State Governor Glenn Youngkin, a vocal Trump ally who has defended the administration's tariff policies. The new Virginia facility – the company's largest single manufacturing investment – will produce active ingredients for AstraZeneca's experimental weight-loss medicines, including its oral GLP-1 candidate and an oral PCSK9 inhibitor for cholesterol management, it said. The company said the investment could create tens of thousands of new jobs, but declined to give specifics. It employs about 18,000 people in the US and has a global workforce of about 90,000. In January, it scrapped plans to invest £450 million (US$607.10 million) in its vaccine manufacturing plant in northern England, citing a cut in government support. Earlier this month, The Times reported the company was considering moving its stock market listing from London – where it is the exchange's most valuable company worth £159 billion – to the US. The company declined to comment.
