KPower Bhd today announced that KPower Engineering Sdn. Bhd. (“KPEng”), a wholly-owned subsidiary of KPower, together with Tellhow International Engineering & Contracting Co., Ltd (“Tellhow”) (the “Consortium”) (collectively referred to as “EPCC Contractor”) has received and accepted the letter of award (“LOA”) from One River Power Sdn. Bhd. (“ORP”) to take over from the previous contractor and complete the engineering, design, procurement, construction, and commissioning of small hydro power plants in Sg. Bengkoka Upper, Sg. Bengkoka Lower and Sg. Togohu in Sabah.
The total contract price of the project, with a total capacity of 29.1 MW, is valued at RM70.00 million. The project is approximately 80% completed with one site certified to achieve the stipulated Commercial Operation Date by Sustainable Energy Development Authority.
The EPCC Contractor will enter into a contract (“EPCC Contract”) with ORP within 30 business days from the date of the award or such other extended period as determined by ORP.
Under the agreement, the scope of work includes completing the engineering, procurement, construction, and commissioning for the project. It also includes carrying out testing, commissioning, and the provisioning of all equipment, both permanent works and temporary works in connection with the project. Commencement of work on the project is subject to the issuance of notice to proceed by the project owner to the EPCC Contractor, subject to terms and conditions to be set out in the EPCC Contract. The work is expected to be completed by 31 December 2022.
Executive Chairman and Group Managing Director, Mustakim Mat Nun said, “The project represents an opportunity to collaborate and work in tandem with Tellhow, a global integrated energy player on our journey to further solidify our footing in the renewable energy space.”
