Nestcon Bhd, a construction engineering firm, has announced securing two contracts for the development of large-scale solar plants in Sabah, with a combined capacity of 18.99 megawatts (MWac).
Nestcon Unveils Two Solar Projects with 25-Year PPA
In a filing with Bursa Malaysia, Nestcon announced two solar projects: a 14.99 MWa.c. solar plant in Bongawan and a 4.00 MWa.c. solar plant in Sri Tanjong. Both large-scale solar photovoltaic (LSSPV) projects will operate under 25-year power purchase agreements, with commercial operations set to commence no later than November 30, 2026.
Nestcon to Fund Solar Projects via Internal Funds and Loans
Nestcon intends to fund the projects using internally generated funds and/or bank borrowings. As outlined in the Letters of Notification (LONs), the solar projects involve a 25-year power purchase agreement, adherence to strict timelines, achieving financial close within the specified period and providing a commitment bond to the Sabah Energy Commission.
Nestcon stated that accepting the LONs for the project is expected to enhance the company's net assets per share, earnings per share and gearing over the project's duration.
Nestcon Bhd: Driving Sustainable Urban Development in Malaysia
Nestcon Berhad is a Malaysia-based investment holding company specialized in sustainable urban development solutions. It operates through three primary segments: civil engineering and infrastructure, building construction and renewable energy. The civil engineering and infrastructure segment focuses on projects such as earthworks, land reclamation, roadworks, railway systems and bridge construction. The building construction segment is involved in the development of residential, commercial and industrial properties.
In renewable energy, Nestcon owns and operates solar photovoltaic (PV) assets and provides Engineering, Procurement, Construction and Commissioning (EPCC) services for solar PV systems.
The company is dedicated to delivering quality and innovative solutions, thereby contributing to national modernization efforts and enhancing the standard of living. Nestcon’s commitment to sustainability and innovation underscores its role as a key player in Malaysia's development landscape.