Kumpulan Powernet bags RM354m contract in Perak


KUMPULAN Powernet Bhd (KPower) has bagged a RM354 million contract from Kangsar Hidro Sdn Bhd to undertake, among others, the preliminary study, design, supply, construction, commissioning and completion of five mini-hydropower plants with a total capacity of 32.47MW in Perak.

The company shall complete all the works to achieve the target completion date within 48 months from the commencement date of Dec 24, 2024.

KPower MD Mustakim Mat Nun (picture)  said the group is pleased to have secured its second award in the year, following the RM65.88 million award from Zhenghong Building Road & Bridge Construction Co Ltd in Vientiane, Laos.

“With the two awards to be carried out, we are expecting positive contributions to the net assets, consolidated earnings and earnings per share of the company for the financial year ending June 30, 2020, all the way to June 30, 2025.

“We are especially proud as this is the first local energy project for the company and optimistic that this will be the first of many on our home soil,” he said in a statement yesterday.

The board anticipates that KPower’s foray into the provision of construction-related services from the fulfilment of the award will in future, result in a diversion of 25% or more of the net assets of the group and/or will contribute 25% or more to its net profits.

As such, the board will make the necessary announcement and seek its shareholders’ approval on the diversification of its operations at an EGM to be convened in due course.

Kangsar Hidro is a joint venture between state agency Yayasan Perak and Kangsar Capital Sdn Bhd, a wholly-owned subsidiary of OHP Ventures Sdn Bhd, which was established to undertake the development of the project. Yayasan Perak and Kangsar Capital own 15% and 85% equity interest respectively in Kangsar Hidro.