KUALA LUMPUR: Pekat Group Bhd's indirect unit, Solaroo RE (Maldives) Pvt Ltd, has agreed to supply solar-powered electricity to Maldives-based Sun Investments Pvt Ltd for RM30 million.
The 10-year contract period is estimated to value US$6.9 million (RM30 million), based on the generation of 25.45 million kWh.
Under the power purchase agreement, Solaroo will design, construct, install, own, operate and maintain a solar photovoltaic energy generating system with a DC capacity of 1,727 kilowatt peak (kWp) and a battery energy storage system (BESS) capacity of 1,398 kilowatt-hour (kWh) to be located on the site at Sun Siyam Vilu Reef Maldives, to generate and supply solar photovoltaic energy to Sun Investments.
The PPA is effective the commercial operation date (COD), which is scheduled to take place within 12 months from the date of possession of the site and shall expire after 10 years of the COD.
"The entry into the PPA will not have any immediate material effect on Pekat's issued share capital and substantial shareholders' shareholdings. "However, it is expected to contribute positively to the earnings and net assets of the group over the duration of the PPA," it said in a filing with Bursa Malaysia Securities.
Pekat's share price was up 1.11 per cent or one sen to 91 sen, with a market capitalisation of RM586.92 million.