IJM Construction wins three new contracts in Malaysia

IJM Construction Sdn Bhd, a wholly owned subsidiary of IJM Corporation Berhad, has secured new contracts for the construction of a logistics hub in Selangor, a semiconductor manufacturing facility in Penang, and a data centre in Johor.

In Selangor, IJM Construction won a RM584.3 million contract from Strategic Sonata Sdn Bhd for the construction of Plot A of a logistics hub at Section 15 in Shah Alam. This involves the construction and completion of six storeys of ramp-up warehouses with offices, a two-storey cafeteria, and all associated ancillary structures and services. The project is expected to be completed within 28 months from the commencement date, scheduled for 20 June this year.

“Leveraging advanced construction methods and value engineering, we aim to meet our clients’ evolving needs while maintaining our focus on sustainability and efficiency. This logistics hub project underscores our capability to execute large-scale logistics developments that align with our strategic goals and environmental objectives,” said Lee Chun Fai, group CEO and managing director of IJM Corporation.

The project aims to achieve the GreenRE Gold certification by adopting it as the benchmarking and assessment system for the development. The GreenRE assessment will evaluate the design, construction and operational phases of the building, ensuring compliance with stringent environmental standards. The certification process focuses on six key pillars: energy efficiency, water efficiency, carbon emission reduction, environmental protection, indoor environmental quality and the integration of other green features.

In addition, IJM Construction was awarded a RM378 million contract to build Phase 1 of a semiconductor manufacturing facility for Siliconware Precision Malaysia Sdn Bhd at the Bandar Cassia Technology Park in Penang. The Phase 1 facility will include a four-storey production building with an office, a four-storey centralised utilities building, a four-storey warehouse building, a 33 kV substation building, and a link bridge to support advanced semiconductor production. Construction of the project is set to complete by October 2025.

To accelerate the construction process, IJM Construction will utilise the smart IBS (industrialised building system) solution from IJM IBS Sdn Bhd. This advanced construction method enhances efficiency, reduces construction time and ensures excellent quality by using prefabricated components manufactured in an IR4.0 automated precast system off-site and then assembled on-site. Such an approach minimises environmental impact and showcases the group’s vertically integrated construction capabilities, leading to streamlined project execution with high-quality results.

The third contract, totalling RM331.7 million, is to design and construct Block 2 of the Iskandar Puteri Data Centre in Johor for TM Technology Services Sdn Bhd. This project encompasses the foundation, substructure, superstructure, building works, mechanical and electrical services, fit-out works, testing and commissioning. Construction of the facility will begin in July 2024 and is slated for completion by the third quarter of 2025.

“This data centre project is a strategic milestone for IJM Construction, diversifying our portfolio and enhancing our capabilities in high-tech construction. Data centres are critical as the backbone of digital infrastructure, and this project paves the way for IJM to become a key player in this essential sector,” said Mr Lee.

The Malaysian data centre market is growing rapidly, with the country emerging as a key hub due to its strategic location and supportive infrastructure. This expansion provides significant growth potential for IJM Construction. By leveraging its internal supply chain capabilities, including spun piles and industrialised building systems from IJM’s Industry Division, the group is well-positioned to capitalise on these opportunities.