KUALA LUMPUR (Oct 28): Steelmaker Ann Joo Resources Bhd (KL:ANNJOO) has secured a RM61.89 million subcontract to undertake electrical infrastructure works at a large-scale solar power plant in northern Peninsular Malaysia.

In a filing with Bursa Malaysia on Wednesday, the group said its indirect wholly owned subsidiary, IAC Infrastructure Sdn Bhd, was awarded the subcontract by an engineering, procurement, construction and commissioning (EPCC) contractor.

The subcontract involves the design, construction, testing and commissioning of facilities and transmission lines needed to connect the solar plant, which has a generation capacity of about 100 megawatts (MW), to the national electricity grid.

Ann Joo did not disclose the identity of the EPCC contractor, citing confidentiality obligations.

The project is expected to be completed by the third quarter of 2027.

Ann Joo said the subcontract is not expected to have any immediate material impact on its earnings, net assets or gearing for the financial year ending Dec 31, 2026 (FY2026), but is expected to contribute positively to earnings in FY2027.

The subcontract follows a RM37.4 million job secured by the same subsidiary in May for a battery energy storage system project in Bukit Kayu Hitam, Kedah.

That project involves the development of a 100MW/400MWh battery storage facility aimed at supporting the national electricity grid.

Ann Joo, which is primarily involved in steel manufacturing and trading, ventured into solar energy in August 2023 through Ann Joo Green Energy Sdn Bhd, with teamed up with JAKS Solar Power Sdn Bhd and Fabulous Sunview Sdn Bhd to secure a 29.99MWac quota under Malaysia's Corporate Green Power Programme.

Ann Joo shares closed unchanged at 45.5 sen on Wednesday, valuing the group at RM327.1 million.