Ley Choon's asphalt-recycling plant opens

S$30m plant, largest in S'pore by capacity, boasts a S$2m R&D centre

Published Fri, Sep 19, 2014 · 04:00 PM

Singapore

LOCAL underground-utilities infrastructure company Ley Choon Group Holdings has officially opened its S$30 million asphalt-recycling plant - the largest in Singapore by production capacity.

The construction of Ley Choon's second asphalt-recycling plant, which is located in Sungei Kadut, commenced in 2012.

Asphalt, also known as bitumen, is commonly used in the construction and maintenance of roads. The production capacity of 400 tonnes of asphalt per hour at the new 45-metre tall plant more than trebles Ley Choon's asphalt production capacity to 575 tonnes per hour.

"This plant employs state-of-the-art technology to enable it to recycle bitumen and aggregates up to 70 per cent, far higher than the industry standard of 30 per cent in Singapore," said Ley Choon. The new plant also boasts a S$2 million R&D centre that focuses on developing new asphalt formulations to further increase the company's recycling rate and improve overall asphalt quality.

Already, the centre has created a new asphalt formulation that provides better skid resistance for roads with higher safety requirements. According to executive director and group technical director Low Boon Hwee, this formulation is being used in the construction of the Land Transport Authority's expressways.

Gracing the opening ceremony was Minister of State for Trade and Industry Teo Ser Luck, who spoke on the benefits of industrial recycling. To some extent, recycling alleviates Singapore's reliance on importing construction materials. It also reduces the amount of construction waste that needs to be disposed of, and therefore, the amount of landfill space required.

In August 2012, the group listed on the Singapore Exchange via a reverse takeover of Ultro Technologies Limited. But its story began 24 years ago when Ley Choon started out as a pipe-laying subcontractor with 15 employees. Today, with total staff strength of more than 1,400, the group is an integrated underground infrastructure construction player with five business segments.

Though local businesses still constitute more than 90 per cent of Ley Choon's total revenue, since 2011, the company also undertakes jobs in China, Brunei and Sri Lanka, and has now set its sights on the Indian market.

On Friday, Ley Choon's share price closed at 12.5 Singapore cents, up 0.1 cent.