KUCHING: Reservoir Link Energy Bhd’s indirect wholly-owned subsidiary, RL Kenyalang Solar Sdn Bhd, has entered into a power purchase agreement (PPA) with Syarikat SESCO Bhd to design, build, own, operate, and maintain a 200 MWac solar photovoltaic energy-generating facility in Tinjar, Sarawak.
Under the PPA, RL Kenyalang will design, construct, own, operate and maintain the facility and will generate and deliver solar photovoltaic energy to SESCO, the electricity utility arm of Sarawak Energy, under a 30-year PPA.
The facility carries an estimated development cost of approximately RM570 million, making it Reservoir Link’s largest single renewable energy project.
The plant will be developed on approximately 600 acres (about 243 hectares) of land in Tinjar.
Once operational, the 200MWac plant is expected to export approximately 401 GWh of clean electricity to the Sarawak grid each year—enough to power an estimated 100,000 households—and offset approximately 80,000 tonnes of carbon dioxide equivalent (CO2e) emissions annually, based on the Sarawak grid emission factor.
Construction is targeted to commence in January 2028, with the commercial operation date (COD) targeted for Dec 31, 2029.
The signing of the PPA marks an important milestone in Reservoir Link’s transformation into an integrated energy company, with a growing focus on developing, owning, and operating power infrastructure.
It anchors the group’s renewable energy platform in Sarawak — a priority growth market — and positions Reservoir Link to participate in the state’s accelerating energy transition while retaining the engineering and project-delivery DNA built over years of field services.
Reservoir Link executive deputy chairman Thien Chiet Chai said this is a landmark award for Reservoir Link and as a Sarawak-registered, Sarawakian-owned public-listed company.
“An asset of this scale reflects the confidence that SESCO and Sarawak Energy have placed in us, and our deliberate strategy of using our oil and gas foundation as a bridge to owning the power infrastructure of tomorrow.
“Just as importantly, this project will be built for Sarawak — creating local jobs, developing Sarawakian talent and vendors, and channelling long-term value back into the state economy.
“Sarawak sits at the heart of Malaysia’s green energy future, and we are committed to building that future from within the state,” he said.
As a Sarawak-registered listed company whose major shareholders — including Thien, Kenyalang Capital and Pansar Berhad — are Sarawakian, Reservoir Link is committed to ensuring the project’s benefits flow back to Sarawak.
The construction and 30-year operation of the plant are estimated to support 2,000 to 3,000 direct and indirect local job opportunities — spanning civil works, electrical and solar installation, plant operations and maintenance — while generating meaningful spillover for Sarawak businesses through local procurement, vendor development and skills transfer.
Reservoir Link intends to prioritise Sarawakian talent and local content across the project lifecycle, helping to build a homegrown renewable energy industry and drive inclusive, long-term economic growth for the state.
The project also supports Sarawak’s ambition to scale up renewable generation capacity under its Post-COVID Development Strategy (PCDS 2030) and its broader green energy targets.
It joins a growing pipeline of utility-scale solar developments in the state and reinforces solar PV as a central pillar of Sarawak’s low-carbon energy mix, complementing the state’s hydropower base.
RL Kenyalang will now work towards financial close and finalise the remaining project and financing arrangements, followed by engineering, procurement and construction.
The group will announce further material developments to Bursa Malaysia in accordance with its continuing disclosure obligations.
