The Board of Directors ("Board") of KKB Engineering Berhad (“KKB”) wishes to announce that KKB has on 25 September 2012 accepted an Extension of Contract for the Fabrication, Supply and Delivery of 14kg and 50kg LPG Cylinders from Petronas Dagangan Berhad (Contract No: PDB/LPG/37/2011/0258).

The extension of contract is for a period of one (1) year effective September 2012 until September 2013.

The total estimated value for the abovementioned period based on Petronas Dagangan Berhad's estimated requirements is approximately RM11,000,000.00 (Ringgit Malaysia: Eleven Million Only).

None of the Directors or major shareholders or persons connected with them has any interest, direct or indirect, in the above contract. The Board, having duly considered all aspects of the above contract, is of the opinion that the above contract is in the best interests of KKB and its group of companies.

This announcement is dated 25 September 2012.