KUALA LUMPUR (April 28): Aizo Group Bhd (KL:AIZO), previously known as Minetech Resources Bhd, has entered into a power purchase agreement (PPA) with national electricity utility Tenaga Nasional Bhd (KL:TENAGA) for a 99.99MWac solar project in Kampar.

In a bourse filing on Monday, Aizo announced that its 63%-owned subsidiary, Wawasan Demi Sdn Bhd, has formalised a power purchase agreement (PPA) with TNB for the development of a 99.99MWac large-scale solar photovoltaic (LSS) facility in Kampar, Perak.

The company stated, "This PPA represents a major step forward in the realisation of one of Aizo’s largest clean energy undertakings to date."

As part of the PPA, Wawasan will be responsible for designing, constructing, owning, operating, and maintaining the solar photovoltaic energy generation facility, with the electricity generated to be supplied to TNB's grid system.

The project will be financed through a combination of internally generated funds and/or bank borrowings, reflecting the company’s confidence in the commercial and strategic value of the project, the company said.

"The Kampar LSS project stands as a testament to our capability in scaling utility-grade solar infrastructure, and we are proud to support Malaysia’s broader energy transition goals," said Aizo executive chairman Datuk Abang Abdillah Izzarim.

"Looking ahead, the group will continue to mitigate project-related risks through effective control measures and operational oversight, ensuring that all phases of the development are carried out to the highest standards," he added.

On Jan 6, Aizo announced that Wawasan Demi had received a notification letter from the Energy Commission (EC) on Dec 23, 2024, regarding the development of the 99.99MWac LSS plant in Kampar, Perak.

Aizo is a civil engineering specialist and bituminous products manufacturer that has expanded into renewable energy and oil and gas services.

Shares of Aizo closed down half a sen or 5.3% to 9 sen on Monday, giving the group a market capitalisation of RM174.6 million. The counter has declined 30.77% this year.