what's a Learning Management System anyway..?

if your system is good, you can sell packages to government sectors at maybe even RM2000-5000 per package under a license that's renewed every year for support and free upgrades..etc.

i hope you're doing real user testing on the target audience especially feedback on friendliness and how they get along with your system.

Sounds interesting and alot of requirements to fulfill depending on the list of things they're planning to do with the LMS. From reading the Wikipedia definition, I take it you're going to use an Open Source project available?

Anyway, a project of this scale (Wikipedia said large scale) it can cost anywhere between RM5000-RM10000+ depending on their list of requirements and if you're building everything from scratch.

don't forget, you might need to provide documentation, training or support later as well if the LMS goes through any troubles.

as for licensing, well, if the whole software is built from ground up then you could approach an Intellectual Property lawyer for consultation and cost of licensing your software.

cheers.