Malaysian construction company Ahmad Zaki Resources (AZRB) has entered into a concession agreement with the Malaysian Government for the MYR1.55bn ($501.6m) East Klang Valley Expressway, which connects the Silk Highway in Kajang and the Karak Expressway in Gombak.

AZRB’s subsidiary EKVE will hold the concession for the expressway for a period of 50 years.

Under the contract, EKVE will carry out the design, construction, completion, operation, management and maintenance of the expressway, including the upgrading works and widening of the existing road.

During the concession period, it will supply and install tolling and other equipment such as telecommunication systems at the Toll Plaza, as well as manage, operate and maintain the expressway.

EKVE will also hold the rights to demand, collect and retain toll for its own benefit from all vehicles that are liable to pay toll using the expressway during the operating period.

"AZRB’s subsidiary EKVE will hold the concession for the expressway for a period of 50 years."

Additionally, the company will exclusively design, construct, manage, operate and maintain the ancillary facilities and administrative offices.

The contract comes with a government loan of nearly MYR635m ($205.5m) at an interest rate of 4% per annum, capitalised annually subject to a separate agreement between the government and AZRB.

The latest contract is the second highway concession agreement signed by the Malaysian Government in 2013, with the being a contract with a subsidiary of Kumpulan Europlus for The West Coast Expressway in January.

Based in Malaysia and established in 1997, Ahmad Zaki Resources specialises in civil and construction works.

The company is involved in the construction of commercial buildings, public buildings and amenities, educational institutions, sports facilities and infrastructure works.