Gamuda’s JV secures Sabah hydroelectric project

PETALING JAYA:Gamuda Bhd via a joint venture (JV) has accepted a letter of notification from the Sabah Energy Commission (ECoS) for the Ulu Padas Hydroelectric project.

In a statement, Gamuda said the project is expected to be developed by Upper Padas Power Sdn Bhd (UPPSB), a subsidiary of UPP Holdings Sdn Bhd, which is a JV company of Gamuda with a 45% equity interest, Sabah Energy Corporation Sdn Bhd (40%) and Kerjaya Kagum Hitech JV Sdn Bhd (15%).

UPPSB will design, construct and operate the Ulu Padas Hydroelectric project through a 40-year power purchase agreement to be entered with Sabah Electricity Sdn Bhd.

In a filing with Bursa Malaysia, Gamuda said once completed, the project is expected to generate revenue of over RM400 million per annum.

The Ulu Padas Hydroelectric project is located in Tenom and Sipitang, with an installed capacity of 187.5 MW, delivering an average of 1,052 GWh of clean energy yearly.

“The Ulu Padas Hydroelectric project is expected to achieve a scheduled commercial operation date by the end of 2030,A hybrid floating solar plant will be integrated into the reservoir area,it added.

As at 5pm, Gamuda’s share price was down by 17 sen or 2.24% at RM7.41, giving the group a market capitalisation of RM20.88 billion. -FREE MALAYSIA TODAY