KUALA LUMPUR (Oct 3): Solarvest Holdings Bhd (KL:SLVEST) and Press Metal Aluminium Holdings Bhd (KL:PMETAL) will jointly develop a 100MWac solar photovoltaic (PV) plant in Mukah, Sarawak, at an estimated cost of RM380 million.

In separate filings with Bursa Malaysia, the companies said Solarvest and Press Metal, through their joint venture Mukah Solar Powerplant Sdn Bhd (MSPSB), have signed a power purchase agreement with state utility firm Syarikat Sesco Bhd to build and operate a solar plant in Mukah, which is expected to begin operations by Nov 30, 2027. Solarvest owns a 60% interest in the joint venture while Press Metal owns the remaining stake.

The project will be mainly funded through bank borrowings secured by MSPSB, while Press Metal and Solarvest’s equity contribution will come from internally-generated funds.

Press Metal group chief executive officer Tan Sri Paul Koon Poh Keong said this project marks Press Metal’s first involvement in a large-scale solar project.

“At the state level, the Mukah Solar PV Plant contributes to Sarawak state’s target of achieving 10 gigawatts of renewable generation capacity by 2030, a key goal under the Sarawak’s Energy Transition Strategy (SET-P) and the Post-Covid Development Strategy 2030.

“It also aligns with the state’s ambition to build a low-carbon, secure, and inclusive energy future, furthering its vision of becoming the Asean Green Energy Hub,” he said.

He added that this project is expected to create approximately 1,500 to 2,000 direct and indirect job opportunities for local workers during the construction and operational phases, bringing tangible benefits to the local community.

“This project reinforces Press Metal’s efforts to advancing renewable energy adoption and minimising environmental impact, in line with our aspiration for a greener world. Our unwavering commitment to a sustainable future and transition towards a low-carbon economy remains steadfast,” he concluded.

For Solarvest, its executive director and group chief strategy officer of Leon Liew Chee Ing said this project further strengthens the company position in the Sarawak EPCC market and gives additional momentum to its growing orderbook. 

"We anticipate our orderbook to rise to a new high of approximately RM3 billion by the end of financial year, driven by more LSS5 and LSS5+ EPCC wins and additional projects in Borneo. 

"More importantly, the Mukah solar PV plant reinforces our long-term commitment to Sarawak, where we aim to deepen our role as a trusted partner in driving clean energy development and supporting the state’s sustainable economic growth, said Liew in a separate statement.

At the midday market break on Friday, shares in Press Metal were trading one sen or 0.17% lower at RM6, valuing the group at approximately RM49.44 billion.

Solarvest's share price were up one sen or 0.34% at RM2.92, translating into a market capitalisation of RM2.45 billion.