Penta-Yo Construction Co., Ltd. (President: Takuzo Shimizu, hereinafter referred to as the Company) and Koh Brothers Eco Engineering Ltd. (Chairman: KOH KENG SIAMG, hereinafter referred to as KBE), which is listed on the Catalyst Market of the Singapore Stock Exchange, have been working together for about 3 years.
A year has passed (on May 28, 2021, our company acquired approximately 28.8% of KBE's shares, making it our equity method affiliate). KBE is an engineering company founded in 1975 that handles civil engineering and construction work, water treatment and wastewater treatment projects, as well as palm oil refining and bioenergy projects.
We are currently working on a deep sewer tunnel (DTSS) project in a joint venture with Koh Brothers Building and Civil Engineering Contractor Pte. Limited (hereinafter referred to as KBCE), one of the major local construction companies in Singapore and a wholly owned subsidiary of KBE. We would like to inform you that the T-08 section of construction is about to be successfully completed soon.
The JV between our company and KBCE received an order from Singapore's PUB (Public Utilities Board) in 2017 to construct a total of four shield tunnels (total length 10 km) in construction section T-08, including two undersea tunnels, in other construction sections. It was completed ahead of the others, and the accident-free time exceeded 10 million hours in 2023, and it is still ongoing. The construction progress and safety management of this JV received high praise from the client, PUB, and in 2022, it received the PUB Construction Safety Award 2022, the highest honor chosen from among all PUB construction sites.
In terms of quality, we collaborated with G&W Ready-Mix, a subsidiary of Koh Brothers Group Limited, KBE's parent company, to develop sulfuric acid-resistant concrete (100-year lifespan) that is resistant to sulfide gas generated in sewer tunnels. Manufactured. This JV is the first company in Singapore to successfully place this type of concrete, which is expected to make a significant contribution to maintaining the quality and extending the service life of sewer pipes in Singapore in the future.
Our company has been working in Singapore for 60 years since 1964, from marine civil engineering works such as land reclamation and container terminal construction, to land civil engineering works such as subways and expressways, as well as construction work such as landmark commercial facilities and large-scale hospitals. I have participated in many large-scale projects. KBCE, a wholly owned subsidiary of KBE, is one of the country's top-class major construction companies with the highest grade qualifications for civil engineering construction work and mechanical equipment work in Singapore. We boast a track record of projects such as the Marina Barrage desalination project in Marina Bay, Changi Water Treatment Facility, and Bugis Station on the MRT Downtown Line, and we have strengths in land-based civil engineering works such as underground wall construction.
The two companies are currently working together on tenders for onshore civil engineering work in Singapore, and have also begun personnel exchanges, with KBE's young employees participating in a three-month training program in Japan and interacting with our young employees. Ta. The synergistic effects of the capital alliance are beginning to steadily emerge. In the future, large-scale projects are expected to continue in Singapore's civil engineering field, such as the redevelopment of the southern coastal area and projects to counter sea level rise. We are confident that by leveraging the respective strengths of both companies, the business foundation in the civil engineering field in Singapore will be further strengthened.
Our company and KBE will contribute to the sustainable development of Singapore through sustainable construction business activities from an ESG perspective, which will in turn lead to the sustainable growth of both companies.
KOH BROTHERS ECO ENGINEERING LIMITED 
