YONGNAM HOLDINGS LIMITED Co. Reg. No: 199407612N NEWS RELEASE YONGNAM CLINCHES FIFTH CONTRACT WORTH S$20.2 MILLION FOR THE MARINA COASTAL EXPRESSWAY - Total contract value for all five contracts is S$326 million Singapore, April 6, 2010 – Yongnam Holdings Limited (“Yongnam” or the “Group”), a well-established structural steel contractor and specialist civil engineering solutions provider, is pleased to announce that the Group has been awarded its fifth contract valued at S$20.2 million (the “Contract”) for the Marina Coastal Expressway (“MCE”). With this contract win, the Group has secured contracts worth a total of S$326 million for the MCE. Mr Seow Soon Yong, Chief Executive Officer of Yongnam, said: “Yongnam continues to build on its solid track record and a strong brand name with its involvement with some of Singapore’s major infrastructure projects. We are very pleased to be entrusted with another project that will form part of the strategic underground east-west transport link between three major expressways.” The dual five-lane, 5km long MCE will be a key element of the strategic island-wide road network to support the long-term growth of Singapore. The underground east- west transport link runs between the Kallang-Paya Lebar Expressway (KPE), the East Coast Parkway (ECP) and the Ayer Rajah Expressway (AYE), with direct connections to the Marina South and Straits View areas. With several upcoming developments such as the Marina Barrage, the Marina Bay Sands Integrated Resort, the Sail @ Marina Bay and the Marina Bay Financial Centre in the vicinity, the MCE will cater to the projected increase in traffic volume generated by the high-density Page 1 of 3 developments in the Marina Bay area and serves as an essential transport link from Marina Bay to the rest of the island. The MCE will run through segments of reclaimed land as well as feature a 420m section that runs below the Marina Bay seabed. This poses many complex technical and engineering challenges, compounded by the difficult soil conditions in the area. Excavation works could run as deep as 60 metres in certain sections and cover the entire width of the expressway. At its deepest point, the MCE will be about 20 metres below mean sea level. Yongnam will support the main contractor, Ssangyong Engineering and Construction Co. Ltd in the installation and subsequent extraction of the temporary steel pipe pile earth retaining wall of the 640m dual carriageway vehicular tunnel structure and slip tunnels. The Contract is expected to complete in May 2012. It is expected to have a favourable impact on the Group’s financial performance for the year ended December 31, 2010. About Yongnam Holdings Ltd With over 30 years of experience in steel fabrication, Yongnam excels in adding value to steel construction. The Group’s two production facilities in Tuas, Singapore and Nusajaya, Johor, Malaysia, have a total annual production capacity of 78,000 tons of steel fabrication. The Group utilises the latest fabrication technologies and design innovation to offer solutions to its clients on a fast-track basis. Its modular strutting system continues to give the Group a strong competitive edge in meeting increasingly more stringent design and project requirements in infrastructure and construction projects. Page 2 of 3 Yongnam’s technical and value engineering solutions for steel fabrication and erection have resulted in increased productivity, improved yield and lower costs. The Group’s in-house pool of experienced and qualified engineers, technicians, welders, riggers, fitters and detailers are consistently adding value to its clients’ projects. Yongnam is an ISO-9001:2000, IQNet and OHSAS 18001 qualified company and accredited fabricator of the highest S1 category from the Singapore Structural Steel Society. Its Quality Management System takes a planned approach towards continuous improvement of its products, processes and services. Yongnam’s modular strutting system, with a traceability procedure that meets the requirements of the Singapore Building and Construction Authority, is the first to be certified by an independent auditor for reusability in earth retaining or stabilising structures. The Group aims to be the provider of choice and partner in solutions for the steel industry. ISSUED ON BEHALF OF : Yongnam Holdings Limited BY : Citigate Dewe Rogerson, i.MAGE Pte Ltd 1 Raffles Place #26-02 OUB Centre SINGAPORE 048616 CONTACT : Mrs Elaine Lim / Mr Daniel Hoo at telephone DURING OFFICE HOURS : 6534-5122 (Office) AFTER OFFICE HOURS : 9751-2122 / 9827-5226 (Handphone) EMAIL : [email protected] [email protected] 040/10/003/YHL April 6, 2010 Page 3 of 3 .