Ibraco Berhad announced that its associate company, Equinox Power Sdn Bhd, has entered into a Power Purchase Agreement (PPA) with Syarikat SESCO Berhad to develop a 100MWac solar photovoltaic (PV) energy generating facility in Sarawak.
The PPA was executed on June 25, 2026, with Equinox undertaking the design, construction, ownership, operation and maintenance of the solar PV facility located at Lot 77 Block 7, Kemena Land District, Similajau, Bintulu Division, Sarawak.
Under the agreement, Equinox will generate and deliver solar photovoltaic energy to SESCO over a 30-year period from the proposed commercial operation date, which is targeted for December 2029.
The project forms part of Sarawak’s ongoing efforts to expand renewable energy capacity and support a more sustainable power generation mix.
Ibraco said the PPA is not expected to have a material impact on the group’s earnings and net assets for the financial year ending December 31, 2026.
However, the company expects the project to contribute positively to the group’s future earnings once the facility begins commercial operations.
The company added that it does not foresee any extraordinary risks beyond normal operational risks associated with the solar facility and will implement measures to mitigate potential challenges.
The PPA does not require approval from Ibraco shareholders or any relevant regulatory authorities.
Ibraco’s board of directors said the agreement is in the best interest of the group and represents a strategic step towards expanding its involvement in the renewable energy sector.
