KAB to purchase biogas firm for RM15mil

PETALING JAYA: Kejuruteraaan Asastera Bhd (KAB) has proposed Future Biomass Gasification Sdn Bhd (FBG) for RM15mil from Future NRG Sdn Bhd, which owns a biogas power plant in Kedah with an installed capacity of 2.4MW.

KAB, in a release yesterday, noted it will benefit from long-term recurring income as FGB has an existing 16-year renewable energy power purchase agreement (Reppa) with Tenaga Nasional Bhd.

The Reppa is effective from March 2019 to March 2034, which enabled FBG to supply power to the national grid.

The acquisition is expected in completed by the first quarter of 2023 and will be funded with bank borrowings and internally generated funds.

Follow us on our official WhatsApp channel for breaking news alerts and key updates!

Next In Business News

Ringgit surges: Economic reforms, potential us rate cut propel currency to be Asia's second best performer
US producer prices rise moderately in June
MRL confirms ECRL partnership plans with CCCC remain unchanged
Tafi Industries wins RM207.5mil contract for Setia Alam development
Minetech bags RM4.05mil contract for Banting Industrial City project
Redtone Digital acquires 7.12% stake in Theta Edge for RM13.93mil
Ringgit gains ground vs US dollar amidst improved sentiment
BNPL credit exposure stands at RM1.42bil in 1Q
Astaka launches Phase 3 of One Bukit Senyum with RM600mil GDV
Uzma explores hydrocarbon fuel deal in Papua New Guinea

Others Also Read