(AFP) Tycoon Ting Pek Khiing, who was forced to quit work on the controversial Bakun dam in 1997, has won an initial contract for the revived project, it was announced today.

Ting's company Global Uphill Sdn Bhd has been awarded a RM74 million contract to build a coffer dam, said Energy Minister Leo Moggie.

Moggie, quoted by Bernama news agency, said Global Uphill had fulfilled all the technical requirements and had quoted the lowest price.

The coffer dam will hold back a river to enable work on the main dam to go ahead.

Moggie, speaking in Sarawak where Bakun will be located, said bidding for the rest of the RM9 billion project was continuing.

A number of global construction giants were talking to local contractors to form consortia.

Criticisms

The main project was initially awarded to Bakun Hydroelectric Corp, a company in which Ting, through his listed firm Ekran, owns a 32 percent stake.

The government announced in 1997 it was taking over after Bakun Hydroelectric failed to raise enough funds.

The permanent 205-metre-high (676-foot) dam will hold back a reservoir the size of Singapore to create an eventual generating capacity of 2,400 megawatts.

The size of the dam has attracted fierce criticism for its effect on the environment and on around 10,000 locals who have already been moved out of their homes.

Environmentalists say capacity far exceeds future power needs in Sarawak.