Value of Kepco stake buy to be finalised by Aug 2018
PETALING JAYA: The value of Korea Electric Power Corp’s (Kepco) 25 per cent stake in Tadmax Resources Bhd’s proposed power plant, which it proposed to buy, will be finalised by August 2018.
Tadmax’s executive director, Datuk Noel John, said it would be finalised when the technical and commercial proposals for the implementation of the project were submitted to the Energy Commission (EC) by Aug 1, 2018.
“Tadmax’s project company, Tadmax Indah Power Sdn Bhd (TIP), will be the leading member of the consortium, which will be responsible for the negotiation of the project, preparation and submission of the complete proposal and liaison with related authorities.
“The participation of Kepco in TIP is significant considering that this is a major international power utility presence in the Malaysian power industry,” he said at a press conference yesterday.
The proposed 1,200-megawatt combined-cycle gas turbine power plant project will be built on 24.3 hectares owned by TIP in Pulau Indah, Selangor.
John said Tadmax was awarded the project by the Malaysian government via the EC in August last year and had completed its feasibility study which cost RM27 million.
Kepco, South Korea’s largest state-owned public utility company, with 51 per cent owned by the South Korean government, inked a joint development agreement (JVA) with Tadmax last Friday, in compliance with the EC’s directive for the latter to seek a suitable and active technical partner for the project.
On implementation of the JVA, Kepco planned to take up 25 per cent in TIP and it also agreed to bear 25 per cent of direct and external third party cost, which included the feasibility study cost, he said.
Under the JVA, John said, Kepco would provide technical reviewing of the engineering, procurement and construction and long-term supply agreement, preparation of the operations and maintenance plan and strategy, technical assistance and consultants and support to achieve successful financial closing.— Bernama