Regas Terminal (Lahad Datu) Awards RM230 Million EPCC Contract To KAB To Build Power Plant

Engineering and energy solutions provider Kejuruteraan Asastera Berhad(“KAB”) through its wholly owned subsidiary KAB Energy Holdings Sdn Bhd (“KABEH”) secured a Letter of Award from Regas Terminal (Lahad Datu) Sdn Bhd(“RGTLD”), a wholly owned subsidiary of PETRONAS Gas Berhad (“PGB”) for the Engineering, Procurement, Construction, and Commissioning (“EPCC”) of a 52-megawatt (“MW”) power plant and its associated facilities in Sabah.

The power plant will be located at the Sipitang Oil and Gas Industrial Park and will be the sole source of energy supply to PETRONAS’ upcoming floating liquified natural gas (“ZLNG”) project. The ZLNG plant, slated to be Sabah’s first nearshore natural gas facility, has a minimum capacity of 2.0 million tonnes per annum.

Dato’ Lai Keng Onn, Managing Director of Kejuruteraan Asastera Berhad said, “Securing this project award from PGB amplifies KAB’s sustainable energy initiatives undertaken since 2019. We are pleased to be selected by PGB as its strategic technical partner.

The power plant, upon completion, will be the single largest gas engine plant in the country, and serve as a crucial power source for PETRONAS’ upcoming ZLNG plant. Furthermore, our joint feasibility studies with PGB show that the power plant is reliable and will achieve significant carbon reduction.

We are committed to a continuous relationship with PGB to ensure the successful completion of this power plant, while contributing to the nation’s sustainability agenda.”

EPCC works for the power plant will commence in the second quarter of 2023 and is targeted to complete in the first quarter of 2026.

KAB’s Sustainable Energy Solutions (SES) division has a strong track record across co-generation and waste to heat recovery plants, as well as solar photovoltaic (PV) systems.

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