Kuala lumpur: Gamuda Bhd’s shares gained traction in early trade on Wednesday, following the signing of a landmark agreement with Tasmanian landowners to co-develop large-scale renewable energy projects. At 9.36 am, the counter rose 9.0 sen to RM5.02, with 8.76 million shares changing hands.
According to BERNAMA News Agency, the agreement was signed via Gamuda’s wholly owned Australian subsidiary, Gamuda Holdings Pty Ltd, to jointly develop a renewable energy portfolio in Central Tasmania, an island state south of mainland Australia. This marks Gamuda’s first major investment in Australia’s renewable energy sector, with plans for 600 megawatts (MW) of wind and solar generation capacity and up to 600 MW of battery energy storage system (BESS) capacity.
The renewable energy portfolio currently includes the Weasel Solar Farm and Cellars Hill Wind Farm. These projects have been spearheaded by prominent Tasmanian landowners, the Downie Family, in collaboration with developer Alternate Path. Construction of the Weasel Solar Farm is expected to commence in 2027, followed by the Cellars Hill Wind Farm in 2028.
Additionally, Gamuda is involved in Early Contractor Involvement agreements for other significant projects, such as Alinta Energy’s Oven Mountain Pumped Hydro Energy Project in New South Wales and Copenhagen Infrastructure Partners’ Capricornia Energy Hub in Queensland.
Meanwhile, MIDF Amanah Investment Bhd commented that Gamuda’s entry into the renewable energy sector is a strategic move to rebuild its recurring income stream, beyond executing large-scale energy projects. The development is seen as positive, ensuring job replenishment for Gamuda and recurring income once the assets reach commercial operation. The company’s strategy focuses on investing in shovel-ready solar and wind projects while selectively bidding for Engineering, Procurement and Construction (EPC) contracts in solar, wind, pumped hydro, and transmission ventures. Among the key projects, Gamuda is engaged in is the early contractor involvement for the Oven Mountain Pumped Hydro Energy Project.