Further to the Company's announcement dated 15 March 2021, the Board of Directors of Ranhill Utilities Berhad ("the Company" or "Ranhill") wishes to announce that its wholly owned subsidiary, Ranhill Solar I Sdn Bhd ("RSI"), had on 19 August 2021 signed the Large Scale Solar Phase 4 ("LSS4@Mentari") Photovoltaic Power Purchase Agreement ("PPA") with Tenaga Nasional Berhad ("TNB").



RSI will design, construct, own, operate and maintain a solar photovoltaic energy generating facility with the capacity of 50MWa.c. (the "Facility") at Batang Padang, Perak.



The PPA governs the obligations of RSI and TNB to sell and purchase the energy generated by the Facility to TNB for a period of 21 years from the commercial operation date in accordance with the agreed terms and conditions as stipulated in the PPA.



The successful tender of LSS4@Mentari is Ranhill's first venture into asset ownership of large scale solar project although our subsidiaries, Ranhill Bersekutu Sdn Bhd ("RBSB") and Ranhill Worley Sdn Bhd ("RWSB"), have previously provided professional services in the development of photovoltaic solar projects.



The Board of Directors views this Project as a step in the right direction as the Group pursues development of renewable energy in helping to contribute to the country's energy transition to a cleaner and greener Malaysia.



The signing of the PPA is not expected to have any material impact on the earnings and net assets of Ranhill Group for the financial year ending 31 December 2021. However, the PPA is expected to contribute positively to the future earnings of Ranhill Group.