PETALING JAYA: ES Sunlogy Bhd has revealed that its joint development of a 155 megawatt-peak large-scale solar photovoltaic power plant in Long Lama, Baram, Sarawak, will cost RM488.18mil.
In a reply to a query from Bursa Malaysia, the mechanical and electrical engineering services company said the project will be funded via a combination of bank borrowings and internally generated funds, in a proposed ratio of 80:20.
“ES Sunlogy is currently in close discussions with two banking institutions to secure the necessary financing facilities for the investment in the joint venture,” it said.
ES Sunlogy announced earlier this week that it had entered into a heads of agreement (HoA) with Planet QEOS Sdn Bhd to jointly develop the power plant.
It added that the pre-development period is estimated to be not later than 18 months from the date of the HoA, which was executed on Aug 11, 2025.
“Project commencement is expected to take place following the pre-development phase, with targeted completion no later than the end of 2027.
“For avoidance of doubt, the HoA serves as a memorandum of understanding and does not constitute the final joint venture agreement.
“The definitive joint venture agreement is expected to be negotiated and executed within the 18-month pre-development period.”
In the event of a funding shortfall or where additional cash equity is required beyond bank loans for the project, ES Sunlogy said it intends to meet such funding requirements via equity funding.
“Furthermore, this may involve the issuance of new shares to interested investors, subject to prevailing market conditions and approvals from Bursa Securities, shareholders and relevant authorities (if relevant), through a private placement exercise of up to 30% of its enlarged share capital.
“The company will assess the appropriate funding structure at the relevant time to ensure optimal capital management and to support the timely execution of the project,” it added.
