PENANG has no issues if engineering giant - Gamuda Berhad withdraws from its bid for Segment 2 (Macallum-Penang Sentral) of the Penang Mutiara Line Light Rail Transit (LRT) project.
Gamuda, which is the lead project delivery partner under the SRS Consortium Sdn Bhd was already awarded the first segment of the mega infrastructure project here but there are reports that it plans to withdraw from the second segment.
Chief Minister Chow Kon Yeow reiterated that the formal tender for the second segment had not been finalised yet.
It was earlier reported that the award would be disclosed by Penang early next year while the first segment was won by the SRS Consortium through direct negotiations based on the state's contractual obligation to the consortium.
"It does not matter. Perhaps Gamuda wants to focus on the first segment. We are fine as the tender has yet to be awarded."
The first segment consists of constructing the LRT line from the now under reclamation Silicon Island to Komtar, some 17km.
The second segment is from Macallum in George Town across the Penang Channel to the Penang Sentral area.
The distance is about 40km.
The second segment is considered the most challenging, as it involves building a secure line across the channel.
Chow was also open to foreign participation in the LRT project, saying that China engineering firms can form a consortium with local companies to bid for the second segment.
"We invite foreign companies, but they must form a joint-venture with local firms for this."
Certain quarters have indicated that it is better for Penang to engage China engineering firms, who have a global reputation of completing projects on a fast-track basis. - October 22, 2025.
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