AWARD OF CONTRACT

18 March 2016

The Board of Directors of Hock Seng Lee Berhad (“HSL”) is pleased to announce that the Consortium of Hock Seng Lee Berhad – Dhaya Maju Infrastructure (Asia) Sdn. Bhd. Joint Venture, an unincorporated joint venture between Hock Seng Lee Berhad and Dhaya Maju Infrastructure (Asia) Sdn. Bhd., has been awarded a Contract by Lebuhraya Borneo Utara Sdn Bhd for the DEVELOPMENT AND UPGRADING OF THE PROPOSED PAN BORNEO HIGHWAY IN THE STATE OF SARAWAK, MALAYSIA - PHASE 1: BINTANGOR JUNCTION TO JULAU JUNCTION AND SIBU AIRPORT TO SG. KUA BRDIGE (INCLUDING BATANG RAJANG BRIDGE). The Project is worth Ringgit Malaysia One Thousand and Seven Hundred and Ten Million, Four Hundred and Thirty One Thousand, Seven Hundred and Eighteen and Sen Ninety Only (RM1,710,431,718.90) and Hock Seng Lee Berhad has 70% equity in the Consortium.

The scope of works for the Project includes earth works, piling, drainage works, road works, interchanges, bridges and its related mechanical and electrical works.

The contract period for the completion of the Project is 51 months. The Contract is expected to contribute positively to the earnings and net assets of HSL Group as the Project progresses during the contract period. However, the transaction will not have any effect on the share capital and substantial shareholdings of HSL.

None of the directors and/or major shareholders of HSL or persons connected to them have any interest, direct or indirect, in the above contract.