RM1.13 bln Sarawak-Sabah Link Road project is not related to Jana Wibawa Programme

An artist's impression of the Long Lopeng junction.

Follow and subscribe to DayakDaily on Telegram for faster news updates.


KUCHING, 26 Nov: The Ministry of Works (MoW) today has clarified that the first phase of the Sarawak-Sabah Link Road (SSLR) project awarded to Samling Resources Sdn Bhd is not included in the Jana Wibawa programme.

Jana Wibawa is an economic generation programme to empower competent Bumiputera contractors.

The MoW was responding to Sepanggar MP Datuk Azis Jamman who during the committee-level 2022 Budget debate session in the Dewan Rakyat on Nov 25, asked the Finance Ministry to provide an explanation on the implementation of the Jana Wibawa Programme with regards to the contract awarded to Samling Resources Sdn Bhd.


The MoW in a statement said the SSLR project study was carried out in 2007 for the purpose of building an alternative road connecting Sarawak and Sabah without going through the neighboring country, Brunei Darussalam.

This project involves a distance of more than 300km with an estimated total cost of RM4.5 billion.

“The first phase of this project has been approved from the Central Agency in 2019 namely in the 3rd Rolling Plan of the 11th Malaysia Plan (11MP), with a ceiling allocation of RM1.2 billion for the overall Phase 1.

“Phase 1 of SSLR involves the construction of a standard JKR (Public Works Department) R3 road from Lawas town to the Long Lopeng junction with a length of 77km.

“It was awarded in direct negotiation to Samling Resources Sdn  Bhd in September 2021 with a contract price of RM1.13 billion,” it said.

MoW also informed that the decision to award this project through direct negotiations to the company was approved by the Ministry of Finance in January 2020.

The decision was based on the agreement of the former 7th Prime Minister Tun Dr Mahathir Mohamad and former 8th Prime Minister Tan Sri Muhyiddin Yassin following the recommendation by the former Minister of Works.

“The selection of Samling Resources Sdn Bhd – a subsidiary of the Samling Group – was made by the Government based on consideration of competitive pricing factors and work experience as well as the logistics facilities offered by the company.

“Regarding Kimlun Sdn Bhd’s involvement in this project, MoW would like to inform that it is a Named Sub-Contractor (NSC) appointed by the main contractor (Samling Resources Sdn Bhd) for the scope of construction work with a price of RM780 million.

“The subcontract price does not include other costs in the implementation of the project such as land acquisition costs, utility diversion, consultant costs and other incidental costs,” it added. — DayakDaily