PETALING JAYA: Underground utilities and substation engineering specialist MN Holdings Berhad has secured a substation engineering contract worth RM136.2 million in Johor.
The company’s wholly owned subsidiary MN Power Transmission Sdn Bhd (MN Power) received and accepted a letter of award from a customer that provides data centre services (Customer A).
The contract scope of work comprises design, supply, installation, maintenance, testing and commissioning for a new 275 kilovolt (kV) consumer landing station (CLS), including main building works, guardhouse and external works, and dismantling and relocating the existing 33/11kV Containerised CLS to the new 33/11kV Interim CLS for Customer A under Package 2.
The latest contract win is in addition to a previous contract won under Package 1 to perform earthworks, retaining walls and piling works for the same CLS, with a contract sum of RM7.1 million.
The contract shall commence in July 2024 and target for completion by June 2025.
MN Holdings executive director Datuk Dang Siong Diang said with more data centres in the pipeline in Johor and Selangor, the company is prepared to bid for more projects in the data centre category.
“We don’t see a slowdown in power infrastructure projects in the coming years as Malaysia has attracted more than 50 data centres within the last two years, putting it on track to become a new data centre hub in South-East Asia.
“Inclusive of the latest contract win, in total, MN Holdings has clinched RM291.5 million worth of on-going data centre contracts that will keep the Company busy for the next two years. Apart from contracts from data centres, the company also secured projects from large scale solar (LSS) project owners. In the second quarter, the company had bagged an engineering, procurement, construction and commissioning (EPCC) contract for a LSS photovoltaic plant in Kedah with contract sum of RM26.0 million, as well as a contract worth RM1.26 million to supply, deliver, install, testing and commissioning solar photovoltaic system for the rehabilitation works of four solar hybrid stations at Perak, Kelantan and Johor” he added.
Moving forward, MN Holdings expects its performance to be bolstered by both ongoing projects and new projects that are expected to be secured. In addition to its involvement in the power industry, MN Holdings is also actively participating in upgrading water and sewerage infrastructure. This sector is driven by the government’s focus on addressing non-revenue water challenges and the increasing demand for water to support the data centre industry.
Recently, MN Semantra Sdn Bhd, a subsidiary company of MN Holdings had secured a RM13.0 million contract for drainage and sewerage works for flood mitigation using the pipe jacking method at Seremban.
With the latest job win, its outstanding order book increased to a total value of RM568.5 million, which is expected to be progressively completed between 2024 and 2025. Out of the RM568.5 million order book, RM546.7 million are projects from the power and gas industries while the remaining RM21.8 million from the water and sewerage industry.
