China Gezhouba, Untang Jaya to undertake main civil works for Sarawak’s Baleh dam.

Sarawak Energy Bhd’s unit, SEB Power has signed a joint venture (JV) with China Gezhouba Group Company Ltd and Untang Jaya Sdn Bhd for the main civil works of the Baleh Hydroelectric Plant (HEP).

The contract includes the construction of the dam, intake structure, spillway and penstocks. With today’s signing,  the JV will also start on the dam’s design soon.

A statement released by Sarawak Energy during the signing ceremony said construction is scheduled to begin in October next year.

Sarawak Energy Group Chief Executive Officer Sharbini Suhaili signed on behalf of SEB Power, while  China Gezhouba was represented by its Malaysian representative, Xu Zhongguo and Untang Jaya by its director, Michael anak Jawa.

The ceremony was witnessed by Sarawak’s Deputy Chief Minister, Tan Sri Dr James Jemut Masing, who is also the state assemblyman for Baleh.

Located on the Baleh River and about  95 km upstream from its confluence with the Rajang River in Kapit, the dam will generate 1,285 megawatts of renewable energy once complete, and is expected to be fully commissioned in 2025.

Construction of the Baleh HEP marks China Gezhouba Group’s entry into Malaysia’s construction industry.

The company is an established hydropower specialist with more than 40 years of experience, having been involved in more than 100 hydropower ventures.

Untang Jaya Sdn Bhd which holds 30 per cent of the JV, is a Sarawak registered Class A contractor from the Baleh/Kapit area with an extensive background in construction.

The JV has indicated that it was looking at procuring locally sourced content of up to 45 per cent of the contract value, and also includes the involvement of local communities and Bumiputeras, as well as Sarawak registered companies.

Met by reporters later, Sharbini said the contract value is about RM3 billion, and will basically be financed by internal funding and sukuk financing.

He also said the development of the Baleh dam is estimated at around RM8 billion.

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