Latest news with #Solarvest
Borneo Post
2 days ago
- Business
- Borneo Post
Solarvest secures Brunei's largest solar project, boosting order book to RM1.3 billion
Construction is expected to begin in the third quarter this year with completion targeted by the end of 2026. –Malay Mail photo KUCHING (June 19): Solarvest Holdings Berhad has secured Brunei's largest 30 megawatt (MW) solar photovoltaic (PV) power plant project, a move analysts say will strengthen its earnings visibility and boost its outstanding order book. The team with Kenanga Investment Bank Bhd (Kenanga Research) said the contract, worth RM100, will lift the group's year-to-date (YTD) job wins to RM604 million, on track to to hit its target of RM1.2 billion in financial year 2026 (FY26). The house also expects the project to deliver gross profit margin between 13 to 15 per cent, contributing to a total order book of RM1.3 billion. On June 16, the group said the project will be undertaken through Seri Suria Power (B) Sdn Bhd, a joint venture Solarvest's wholly-owned subsidiary Atlantic Blue (34 per cent), Serikandi Oilfield Services (36 per cent), and Khazanah Satu (30 per cent). The JV also signed a 25-year power purchase agreement (PPA) with Brunei's Department of Electrical Services (DES), under the Prime Minister's Office to develop and operate a 30MWac solar Kampong Belimbing, Kota Batu. Construction is expected to begin in the third quarter this year with completion targeted by the end of 2026. The engineering, procurement, construction and commissioning (EPCC) work will be handled by Serikandi Solarvest, a separate JV between Solarvest Borneo (49 per cent) and Serikandi Holdings (51 per cent). 'This contract adds positively to Solarvest's job wins, bringing its YTD tally to RM604 million. It also lifts the group's total order book to RM1.3 billion, comprising 81 per cent large-scale solar (LSS) and 19 per cent commercial and industrial (C&I) projects. 'This will keep the group busy for at least over the next 18 months,' Kenanga Research said. The house added that the project is expected to yield a higher tariff of 18 to 20 sen per kilowatt-hour (kWh) compared to the 13 to 16 sen per kWh rate under Malaysia's LSS5 programme. Based on current panel prices, the internal rate of return (IRR) is estimated at around 10 per cent. RHB Investment Bank in a separate note said management expects the project's IRR to be in line with Malaysia-based projects, ranging from high single digits to low teens. The total capital expenditure is estimated at BND35 million, structured with a 70:30 debt-to-equity ratio. Based on Solarvest's 34 per cent stake, the project is expected to contribute RM2 to RM3 million in earnings per year. Excluding project financing, the group's net gearing is projected to rise to approximately 0.21 times. brunei corporate news solar energy Solarvest
New Straits Times
4 days ago
- Business
- New Straits Times
Solarvest's Brunei project could generate RM100mil via JV, says HLIB
KUALA LUMPUR: The solar project secured by Solarvest Holdings Bhd in Brunei is expected to deliver up to RM100 million in value to its 49 per cent-owned joint venture, according to Hong Leong Investment Bank (HLIB Research). Solarvest secured a 25-year power purchase agreement (PPA) through its 34 per cent-owned joint venture (JV), Seri Suria Power (B) Sdn Bhd. The agreement, inked with Brunei's Department of Electrical Services, will see the JV build, own and operate a 30 MWac ground-mounted photovoltaic (PV) plant atop a remediated landfill in Kampong Belimbing, Kota Batu. Commercial operations are expected to begin by the end of the calendar year 2026, with construction scheduled to start in the third quarter of 2025. Seri Suria Power is a partnership between Solarvest and local entities Khazanah Satu Sdn Bhd — a Bruneian government investment arm under the Finance Ministry — and Serikandi Oilfield Services Sdn Bhd, an energy and infrastructure service provider. HLIB Research said in a note the engineering, procurement, construction, and commissioning (EPCC) scope is expected to deliver between RM80 million and RM100 million in value to Solarvest's 49 per cent-owned EPCC JV, expanding its existing RM1.2 billion order book. "Capital expenditure for the plant is projected at B$35 million (about RM116 million) and should have minimal balance sheet impact considering equity funding required from Solarvest amounts between RM7 million and RM10 million. "Meanwhile, our preliminary project internal rate of return estimation could come in the 'high single digit' range – a reasonable figure, in our view," the firm said. HLIB Research added Solarvest's management aims to grow its order book beyond RM2 billion in the financial year ending March 2026 (FY26), supported by domestic clean energy initiatives such as LSS5, MyBeST, LSS6 and the CRESS programme. The group's tender pipeline remains robust at 5.86 gigawatt-peak (GWp), with battery energy storage systems (BESS) also emerging as a key growth area. HLIB Research maintains a "Buy" rating on Solarvest with an unchanged target price of RM2.25, based on a sum-of-parts valuation comprising a 25 times price-to-earnings multiple for its EPCC business and discounted cash flow for its recurring income assets. Key risks to the outlook include execution delays, political uncertainties and potential fluctuations in material and labour costs.
New Straits Times
5 days ago
- Business
- New Straits Times
Solarvest wins Brunei's largest solar project via JV with Serikandi
KUALA LUMPUR: Solarvest Holdings Bhd's subsidiary Atlantic Blue Sdn Bhd has secured Brunei's largest national solar project, with a generation capacity of 30 megawatts (MW). The project will be developed through a joint venture company, Seri Suria Power (B) Sdn Bhd, in partnership with Serikandi Oilfield Services Sdn Bhd and Khazanah Satu Sdn Bhd. Slated to begin construction in the third quarter of 2025, the appointment permits Seri Suria Power (B) Sdn Bhd to invest, build and operate a the solar photovoltaic power plant located on a 33.29-hectare remediated landfill in Kampong Belimbing, Kota Batu. Upon completion by the end of 2026, it is set to become the largest plant in Brunei, with an annual output of more than 64.47 million killowatt-hours (kWh), with a potential to offset about 645,000 one million British thermal units (MMBtu) of natural gas and 92 million tonnes of carbon dioxide. The project was formalised following the signing of three pivotal agreements, including joint venture agreement, as well as land lease agreement and 25-year power purchase agreement between Seri Suria Power and the Brunei's government. It originated from a request for proposal process (RFP) launched in 2021, which attracted wide interest from both local and international solar developers. As part of the RFP requirements, participating developers were mandated to form joint ventures with government-linked companies to ensure national participation and capacity building. This exercise creates confidence in Brunei's capability to achieve the national aspiration of 30 per cent renewable energy mix. The initiative aligns with Brunei's commitment to reduce greenhouse gas emissions by 20 per cent from business-as-usual levels by 2030 and supports the country's goal of diversifying fuel sources in the power sector while reducing reliance on fossil fuels. The solar plant will generate new opportunities for local businesses and contribute to local economic development through related activities. Serikandi Oilfield Services chairman and managing director Shaikh Khalid Shaikh Ahmad said the government's forward-thinking measures and supportive regulatory framework provide a strong foundation for the successful implementation of the national clean energy transition plan. "Alongside various initiatives introduced over the years, this project reaffirms our commitment to a progressive path toward a dynamic and sustainable economy, aligned with prevailing global economic trends. "Serikandi is well-positioned to seize emerging opportunities in Brunei's growing new and renewable energy sector, opening up job opportunities for its citizens," he said in a statement. Solarvest executive director and group chief strategy officer Leon Liew Chee Ing said the project reflects Brunei's strong commitment to a cleaner, more sustainable energy future, given the nation's abundance of fossil fuels. He added that the project, which leverages Solarvest's technical expertise and regional experience, presents a valuable opportunity to deliver Brunei's largest solar initiative.
The Star
10-06-2025
- Business
- The Star
Solarvest continues to make hay as the sun shines
The company's unbilled order book quintupled from RM242mil in the fourth quarter of FY24 to RM1.2bil in 4Q25. PETALING JAYA: Solar energy company Solarvest Holdings Bhd is poised to scale new heights as the group's stellar results for its financial year 2025 ended March 31, (FY25) sets the stage for a stronger FY26, underpinned by a five-fold jump to RM1.2bil in unbilled orders, analysts say. Hong Leong Investment Bank Research (HLIB Research) said: 'We expect another record year for Solarvest going into FY26, backed by strong order book growth and commissioning of assets towards the later part of FY26.' The company's unbilled order book quintupled from RM242mil in the fourth quarter of FY24 (4Q24) to RM1.2bil in 4Q25. 'We believe execution of Corporate Green Power Programme contracts should kick into higher gear in FY26,' the research house added HLIB Research also anticipated the commencement of projects under the fifth phase of the government's Large Scale Solar (LSS5) initiative could lift Solarvest's engineering, procurement, construction and commissioning revenue towards 2H26. Solarvest's management is guiding for further contract wins from LSS5 in the near term, the research house noted. According to HLIB Research, Solarvest has consistently maintained a minimum 30% market share in past phases of the LSS initiative. Separately, LSS6 bidding is set to commence in the second and third quarters of this year, and the research house thinks the available quotas will be sizeable, ranging between two gigawatt and four gigawatt. 'As such we reckon that Solarvest management's guidance of surpassing RM2bil in unbilled orders in FY26 is conservative, looking at the existing pipeline and its stellar track record,' said HLIB Research. The research house maintained a 'buy' call on the stock with a target price of RM2.25 per share.
The Star
26-05-2025
- Business
- The Star
THE ASEAN POWER GRID: UNLOCKING ASEAN'S NET-ZERO POTENTIAL
FIRST proposed in the late 1990s, the Asean Power Grid (APG) was envisioned as a long-term solution to energy security and sustainability through multilateral electricity trading. Today, only seven out of the 16 planned interconnections are operational. The APG is the key interconnection of power systems for Asean countries to trade cross-border electricity. On paper, it's an ambitious plan. In practice, it faces considerable headwinds – not only from the lack of technology or investment, but also from fragmented regulatory regimes, uneven political will and deep-rooted concerns about sovereignty and national energy security. Countries at different stages of economic development and energy transition often hold contrasting views. Energy-exporting countries worry about undervaluation of their power exports. Energy-importing countries hesitate to rely on neighbours for something as strategic as electricity. 'To unlock the full potential of the APG, a coordinated, trust-based approach is needed. One that embraces regional diversity but works toward common goals,' says Solarvest executive director and group chief executive officer Davis Chong. Making the APG a reality: four strategic imperatives Strategy 1: Harmonise regulatory and market frameworks Asean countries must develop shared technical standards, grid codes, pricing mechanisms and regulatory norms to enable seamless cross-border power exchange. Is it being done? Partially. The Asean Power Grid Consultative Committee (APGCC) has initiated discussions and studies on regulatory harmonisation, with some technical standards and bilateral power trading agreements in place. This includes the ongoing policy dialogues under the Asean Plan of Action for Energy Cooperation (APAEC) Phase II (2021-2025), and a sub-programme on regional power market development. Chong: to unlock the full potential of the asean Power Grid, a coordinated, trust-based approach is needed. However, some governments find it challenging to adjust their domestic electricity subsidies or tariff to align with regional trading models; some may lack the resources to participate fully. 'Asean's energy future depends on how quickly public-private trust is built. 'When industry is invited to co-create, not just implement, we see faster results and deeper regional alignment. What's missing is a structured platform for continuous engagement between governments and private developers,' he said. Strategy 2: Institutionalise public-private collaboration Governments must establish transparent and structured platforms to involve industry consultation as early as grid planning and policy design, along with formal mechanisms that enable energy authorities and private companies to co-invest in and co-develop clean energy infrastructure. Private sector players like Malaysia's Solarvest, with proven experience in cross-border solar development, are already collaborating with national and regional institutions to fast-track clean infrastructure deployment across South-East Asia. Their participation in clean energy initiatives aligned with the Asean Interconnection Masterplan exemplifies how public-private partnerships can be effectively operationalised at scale. With their technical expertise, financial strength and operational agility, these private companies can significantly accelerate the implementation of the Asean Power Grid. Strategy 3: Prioritise regional grid modernisation and digitalisation Advanced energy management systems like smart grids and AI-driven monitoring are key to balancing intermittent renewables and enabling reliable cross-border power trading. This is an area where private companies can provide valuable solutions through innovation and operational experience. Countries like Singapore, Malaysia and Thailand are advancing smart grid projects and integrating distributed energy systems. However, regulatory bodies in countries like Cambodia, Myanmar or Laos may lack the resources or technical capacity to participate fully, largely due to cost and infrastructure gaps. Smart grid technologies are capital-intensive. Countries with limited fiscal space often struggle to invest at scale, resulting in fragmented digital platforms that complicate regional integration. Solarvest, which has invested and brought clean energy expertise to various Asean country showcases how successful public-private partnerships that bridge the investment and capability gaps. Strategy 4: De-risk cross-border power projects through bilateral/multilateral mechanisms 'Policy without execution leads to bottlenecks. That's where regional developers and clean energy investor like us can play a critical role to translate high-level energy plans into bankable, buildable clean infrastructure,' says Chong. The absence of centralised Asean mechanism or standardise project finance tools continues to limit project bankability. Clean energy projects often lack long-term offtake agreements, regulatory clarity or sovereign guarantees – deter investors. Hence, feasibility studies and pilot projects such as the Asean Interconnection Masterplan Study (AIMS) III and the Laos-Thailand-Malaysia-Singapore (LTMS-PIP) pilot projects are important. Countries are more likely to participate when risks are mitigated. Institutions like the Asian Development Bank (ADB) and the Asean Infrastructure Fund (AIF) can help de-risk early-stage cross-border power infrastructure via blended finance, sovereign guarantees or risk-sharing instruments. Malaysia: A blueprint worth studying Asean needs not just cross-border grids, but cross-border knowledge transfer. Malaysia offers a compelling case study of how enabling policies and private sector engagement can move the needle on clean energy. The National Energy Transition Roadmap (NETR) outlines clear investment pathways toward a greener grid, including large-scale solar, hydrogen development and energy efficiency. Under the Corporate Renewable Energy Supply Scheme (CRESS), it enables third-party grid access and serves as a potential catalyst for cross-border electricity trading. Additionally, Malaysia has successfully implemented cross-border energy exports, such as to Singapore through the LTMS interconnection. This serves as a proof-of-concept that regional energy trading is technically viable and politically achievable. A decade of promise, need of delivery The APG is not simply about building power lines across borders. It is about building trust, interdependence and a shared commitment to Asean's sustainable future. For Asean to rise as a climate-resilient economic bloc, governments, industries and communities must sit at the same table as collaborators for the delivery of the APG. About Solarvest Holdings Bhd Solarvest is a regional clean energy infrastructure developer, with presence across eight Asia-Pacific countries, including Malaysia ('HQ'), Singapore, Vietnam, Taiwan, Indonesia, Thailand, Brunei, and the Philippines. Recognised for its leadership in the solar industry, Solarvest has expanded its expertise to support clean energy transformation, offering a comprehensive suite of advanced solutions including Energy Storage, Energy Efficiency, Renewable Energy Certificates, and more. To date, Solarvest has developed more than 2,000 MWp of projects across the region. Solarvest is listed on the Main Market of Bursa Malaysia. For more information, log on to
