The Board of Directors of KKB Engineering Berhad ("KKB") wishes to make the following announcements:-

(i) Acceptance of a Local Purchase Order from YWP Builders Sdn Bhd by KKB’s subsidiary, Harum Bidang Sdn Bhd to manufacture and supply MSCL Water Pipes and Pipe Specials for Bekalan Air Luar Bandar (BALB) Project in Sarawak.

The duration of the supply contract shall be approximately nine (9) months commencing from December 2011. The contract sum is worth approximately Ringgit Malaysia Fourteen Million And Two Hundred Thousand (RM14.2 Million).

(ii) Acceptance of a Letter of Award by KKB for the Fabrication, Supply and Delivery of LPG Cylinders from Petronas Dagangan Berhad for a period of one (1) year commencing September 2011 with an option to extend for an additional one (1) year. Total estimated contract sum for the first twelve (12) months period is Ringgit Malaysia Sixteen Million And Five Hundred Thousand (RM16.5 Million).

To the best of our knowledge, none of the Directors or major shareholders or persons connected with them has any interest, direct or indirect in the above awards. The Board, having duly considered all aspects of the above awards, is of the opinion that the above awards are in the best interest of KKB and its group of companies.

This announcement is dated 12 September 2011.