MaSteel/KUB

Masteel is aiming for its 60% subsidiary MCN to start the Johor Baru Central-Woodlands shuttle train service by end 2013. That is provider MCN obtains all the necessary approvals from the Malaysian government by 1HFY2012.

Nonetheless, it is not known at this juncture if MCN’s shuttle trains service to Woodlands, which involve putting two new diesel trains into service, will be a permanent fixture. The services will be terminated or sustained as an alternative to the RTS. This will depend on future arrangements with the Singapore parties.

By 2018, Malaysia will surrender the Woodlands station and the last station under KTMB will be JB Central. Hence if MCN were to continue with its service to Singapore them it will probably have to negotiate with the Singapore authorities as the Woodlands station and probably even the rail tracks would fall under its jurisdiction.

The JB Cental-Woodlands shuttle train service was set to become operational by end 2012. It is actually part of the more extensive Johor commuter train services that MCN had originally planned to start by end 2013 or early 2014, a year after it commences the shuttle train service to Woodlands.

Besides Masteel, MCN’s other substantial shareholder is KUB which holds the remaining 40% stake. MOF owns 22.55% stake in KUB and Gaya Edisi Sdn Bhd owns 26.62% stake which is linked to UMNO.