Malaysia

Penang’s Air Itam-Tun Dr Lim Chong Eu bypass nearing completion

The infrastructure is one of several key projects, which are designed to alleviate the worsening congestion on the island.

Updated 1 month ago · Published on 07 Sep 2026 11:51AM

Penang’s Air Itam-Tun Dr Lim Chong Eu bypass nearing completion
The project's landbank cost is RM695.977 million, of which the consortium is seeking the same figure through land swaps, said Zairil. - September 7, 2026

by Ian McIntyre

THE Air Itam-Tun Dr Lim Chong Eu bypass edges closer to completion, with Penang disclosing that 92.46 per cent of the construction phase is done.

As of last month, there is a 92.46 percent completion rate, although the financial payout to the contractor and project delivery partner is only 81.69 per cent finalised, said state executive councillor Zairil Khir Johari.

"The project is not paid through cash sales, but through land swaps, so we need to ready the necessary land to be accorded to the delivery partner - Consortium Zenith Construction Sdn Bhd," said Zairil in a statement.

The project's landbank cost is RM695.977 million, of which the consortium is seeking the same figure through land swaps, said Zairil.

For now, the state has surrendered a landbank total of 11,6183 acres or RM427.657 million with the remainder of RM225.768 million as the shortfall.

The consortium has asked Penang to monetise land sales to help it with its cash flow needs so the project can be fully completed by April next year, he said.

"Penang has agreed to conduct a public auction of a land site as part of the consortium's claim. It is a prime land location of six acres at PT858 (Plot 7A) under Section 2 of the Tanjung Pinang Township (off Gurney Drive)."

Zairil revealed that the state will auction the plot from Wednesday at 11 am.

The land is located next to Gurney Bay and the (reclaimed) Andaman Island, with the reserve prices going at RM313.632 million as starters.

The sale proceeds from the land would be shared between the state government and the consortium.

Those who need to participate in the bidding can do so by liaising at the state office on Level 51, in the Komtar administrative complex.

The infrastructure is one of several key projects, which are designed to alleviate the worsening congestion on the island.

It will be the first elevated highway to be completed, with two more - the Tanjung Bungah - Teluk Bahang link highway and the Gurney Drive - Tun Dr Lim Chong Eu Expressway as the other two bypasses proposed.

Besides that, Penang is also witnessing an unprecedented range of infrastructure projects to be completed - there is ongoing construction for the Mutiara Light Railway Transit project, the Silicon Island reclamation and in Prai, the upgrading of the Juru - Sungai Dua highway stretch in the North - South Expressway.

The projects mean that Penang will witness many construction projects taking place along the public roads and social amenities in the state. - September 7, 2026.

Related News

Malaysia / 1d

10 former Negeri Excos file application in Federal Court to challenge revocation of appointments

Places / 1d

Penang makes National Geographic list of top 25 cities worldwide to visit

Community / 2d

Penang: Ratepayers Association calls for immediate solution to worsening congestion

People / 3d

Prevention and early detection vital to reduce NCD rates, says Penang Exco

Malaysia / 3d

DKU seeks court action against Ismail, 16 others over Negeri Sembilan royal dispute

Community / 5d

More attention needed to care for the aged, says consumer association

Spotlight

Malaysia

Young Malaysians record highest rates of depression - Dr Dzulkefly

By Alfian Z.M. Tahir

Malaysia

Bandar Utama schoolgirl stabbing: Court allows media coverage, orders teenager’s identity protected

Malaysia

LLM apologises for TuJu navigation disruptions amid surge in users

By Alfian Z.M. Tahir

Malaysia

3,510 medical officers resign, more than half join private sector

Malaysia

Police await AGC’s directions on Negeri Sembilan MB’s forced-signature claim

Malaysia

Truck drivers top list of motorists caught driving under influence of drugs in Penang

Malaysia

Govt approves 17 measures to tighten airport security after alleged drug-smuggling case

Malaysia

Waze ban driven by legal, data security concerns, says Gobind

Malaysia

Police to disclose findings on Kuching school attack next Tuesday

You may be interested

Malaysia

Tabung Haji’s RM3.3b hibah payment at centre of charges against two top ex-executives

Malaysia

Perlis MB insists party suspension will not unseat him

Malaysia

Ship fuel emissions: ‘Do not overlook public health’ – experts

Malaysia

Waze banned to protect government information and users' personal data from Israeli threats – PM

Malaysia

Perlis MB Abu Bakar suspended from Bersatu for two election terms

Malaysia

Fourteen fined RM4,500 each over online scam conspiracies in Kuantan

Malaysia

Sabah gets 5,555 approvals to transfer diesel subsidy to actual vehicle users

Malaysia

Lecturer takes RM218k in loans before losing RM269,993 to phone scam