Malaysia's TNB wins 3 billion rgt power plant contract

KUALA LUMPUR Tue Oct 9, 2012 5:08am EDT

KUALA LUMPUR Oct 9 (Reuters) - Tenaga Nasional Bhd (TNB) was awarded on Tuesday a 3 billion ringgit ($978 million) contract by Malaysia's Energy Commission to build, own and operate a power plant in the northern state of Penang.

The award followed an international bidding exercise for the new 1,071 megawatt (MW) facility, which will be built to meet a rise in power requirements for peninsular Malaysia by 2016 and 2017, the Energy Commission said in a statement.

TNB Pasir Gudang was given a five-year extension to an independent power producer contract, while Malakoff Bhd's Segari Energy Ventures and Genting Bhd's Genting Sanyen Power were given ten-year extensions.

"Through these concurrent bidding exercises, we have successfully secured power generation capacities to meet the growing demand of electricity, at the lowest cost of energy and with minimum completion risks," said the Energy Commission.

($1 = 3.0675 Malaysian ringgits) (Reporting By Al-Zaquan Amer Hamzah, Yantoultra Ngui)