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Malakoff Appoints Alstom As EPC Contractor For Tanjung Bin's 1,000 MW Power Plant Expansion

22 February 2012

Coal-fired power plant to be completed in four years

Kuala Lumpur, 23 February 2012 – Malakoff Corporation Berhad (Malakoff) via its wholly-owned subsidiary, Tanjung Bin Energy Issuer Bhd signed an Engineering, Procurement and Construction (EPC) contract today with a consortium led by Alstom, to provide key power generation equipment for the new 1,000 MW supercritical coal-fired power plant, adjacent to Malakoff’s existing facilities at Tanjung Bin, Johor. Under the EPC Contract, TBEI has appointed the EPC Contractor for the design, engineering, procurement, construction and commissioning of the Project. The construction works are expected to be completed within 48 months from the Notice to Proceed. The contract price for the EPC Contract is approximately RM 5,000,000,000.

The new 1,000 MW power plant, which is expected to be completed in 2016, will increase Tanjung Bin’s current generating capacity of 2,100 MW to a total combined capacity of 3,100 MW. Under the EPC, Alstom will lead a consortium that includes Mudajaya and Shin Eversendai, to oversee the engineering, procurement, construction and the commissioning of the 1,000 MW supercritical steam turbine and generator, boiler and plant auxiliaries.

Speaking at the signing ceremony, Zainal Abidin Jalil, Chief Executive Officer of Malakoff said, “This signing ceremony today represents another step forward for Malakoff Corporation Berhad in strengthening our position as the leading independent power producer not only in Malaysia, but also within the ASEAN region.”

“We are very pleased to inform that the EPC consortium partners have incorporated cutting-edge supercritical technology into the new plant to ensure that we are able to generate electricity at the highest levels of efficiency, while minimizing environmental impact,” he added.

The new 1,000 MW power plant project was awarded to Malakoff in June last year following a competitive bidding process, overseen by the Energy Commission of Malaysia. Upon completion, the power plant will make the generating capacity available to the off taker, Tenaga Nasional Berhad, under a 25-year Power Purchase Agreement. The operation and maintenance for the new power plant will be provided by Teknik Janakuasa Sdn Bhd, a wholly-owned subsidiary of Malakoff, under a long-term O&M agreement.

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