Sime Darby probes Bakun Dam losses

Malaysian conglomerate, Sime Darby Bhd, has confirmed that they have set up a taskforce, which is investigating its energy and utilities division’s operations.  Bernama reports that a recent news report states that the company has recorded more than RM1 billion in total cost overruns from civil works on the Bakun hydro-electric project.

The taskforce is reported to be looking into all aspects of the division, including its engineering works in Qatar and civil works on the Bakun hydro-electric dam. Sime Darby released a statement in May, which stated:

The taskforce has yet to complete its investigations. Once completed, the group will make all relevant disclosures, during the third quarter results on May 27.

The company also admitted that the management is aware of the difficulties and challenges faced by the division, especially in relation to operational efficiency and project management. The group is currently addressing the situation by implementing appropriate measures.