Thursday 28 Mar 2024
By
main news image

This article first appeared in The Edge Financial Daily on December 5, 2017

KUALA LUMPUR: Cypark Resources Bhd has been awarded a contract by the Energy Commission (EC) to build a large-scale solar photovoltaic (PV) plant of 30MWac (43.18-MWdc) at Empangan Terip, Negeri Sembilan.

This follows a competitive bid process conducted by the EC.

In a filing with Bursa Malaysia yesterday, Cypark said its wholly-owned subsidiary Cypark Renewable Energy Sdn Bhd (CRE) had on Nov 28 received a letter of acceptance of offer from the EC for the project.

It added that the group’s participation in the project is via a consortium comprising Revenue Vantage Sdn Bhd and CRE.

“The consortium is required to fulfill the conditions as set out in the letter of acceptance of offer prior to the EC issuing the formal letter of award for the project,” said Cypark.

It said the project is expected to contribute positively to the future earnings of the Cypark group.

“The project will further strengthen the Cypark group’s position as one of Malaysia’s leading integrated renewable energy developers and green engineering solutions providers. With the expected completion of the solar PV plant, the group will significantly increase its renewable energy capacity,” it added.

Cypark had earlier this year bagged two other solar plant projects in Negeri Sembilan — one involving a 10.5MW solar PV plant at Ladang Tanah Merah, and another 3.95MW plant at Jelebu — worth a combined RM75.01 million.

The two projects were awarded in May by Selasih Mentari Sdn Bhd and Revenue Vantage, valued at RM53.38 million and RM21.63 million respectively, to be completed by the second half of next year.

In that same month, Cypark’s share price hit its multi-year peak at RM2.76. Prior to this, its shares were trading below the RM2.50-level for about one-and-a-half years, dipping to a low of RM1.46 in August 2015.

“We plan to increase our investment in renewable energy projects and have bigger revenue contributions from the sales of green power,” Cypark had said in its notes accompanying its financial statement for its third financial quarter ended July 31, 2017.

It also envisioned that its renewable energy segment could contribute more than RM300 million of recurring revenue by 2020, which also includes waste-to-energy, other than solar.

Cypark shares closed down one sen or 0.39% at RM2.58 yesterday, bringing a market capitalisation of RM673.92 million.
 

      Print
      Text Size
      Share