BOUSTEAD HEAVY INDUSTRIES LANDS RM205 MILLION PROJECT

KUALA LUMPUR, May 16, 2008 – Boustead Heavy Industries Corporation (BHIC) continues to strengthen its reputation as one of the leading participants in the maritime sector by having successfully secured two construction contracts worth RM205 million today.

The contracts for the construction of 2 separate 111m Accommodation Work Barges were signed between Boustead Penang Shipyard Sdn Bhd (BN Shipyard) and Swire Pacific Offshore Operations Pte. Ltd. (SPO). The contracts are expected to be completed and delivered by first and second quarter of 2010 respectively

YBhg. Laksamana Madya Dato’ Seri Ahmad Ramli Haji Mohd Nor (B), Executive Deputy Chairman of BHIC, said “This contract is a reflection of the confidence of the market on our ability to deliver our contractual obligations. We will continue to explore new opportunities in the maritime sector both locally and regionally.”.

SPO is one of the leading service providers in the offshore oil and gas industry. With more than a century's experience in deep-sea shipping, towage and salvage, SPO’s involvement and contribution in the offshore oil industry spans the globe.

With these new jobs and with current projects in place, BHIC is confident of continuing its positive development to broaden its market reach and surpass its projected profit and targets for the year.

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Issued on behalf of: BHIC----- By: acorn communications sdn bhd For further information, please call: Michael Poh at 012 395 5202 or Desiree Ann at 03 7958 8348 Or email at:clientservicing@acornco.com.my