Energy & Technology

Binastra Corporation Bhd’s wholly owned subsidiary, Binastra Green Energy Sdn Bhd (BGE), has signed a tripartite agreement linked to a RM305 million contract covering infrastructure and renewable energy projects. According to a Bursa Malaysia filing on Thursday, the agreement was signed with Bahru Stainless Sdn Bhd (BSSB) and Binastra Construction (M) Sdn Bhd (BCSB). Under the arrangement, BCSB takes over from BSSB as the client for the contract, while all existing terms and conditions remain unchanged. The contract, originally awarded via a letter of award on Oct 7, 2025, includes the design and construction of infrastructure works—such as site clearance, earthworks, civil and structural works—as well as a 65-megawatt peak solar photovoltaic system and a 200-megawatt-hour battery energy storage system. BCSB will now assume all rights and obligations of the original client, acting as both asset owner and financier for the project. The contract is classified as a recurrent related-party transaction of a revenue or trading nature, with shareholders’ approval obtained at the company’s annual general meeting on July 3, 2025. Datuk Tan Kak Seng, Binastra’s managing director, holds a direct 11.09% stake in the company and an indirect 41.18% interest via JT Conglomerate Sdn Bhd. BCSB is jointly owned by Tan (64.69%), his father Tan Nge (32.32%), and his mother Liu Soh Yon (2.99%), all of whom serve as directors of BCSB.

Indonesia has abandoned plans to introduce the mandatory B50 palm oil-based diesel this year, citing technical and funding concerns, and will continue with the existing B40 blend instead. The move eases pressure on global palm oil supplies, as the B50 mandate was expected to absorb an additional 2.2 million tonnes of crude palm oil (CPO) for domestic use. The B50 blend — 50% palm oil biodiesel and 50% conventional diesel — had been scheduled for rollout in the second half of 2026. Officials said the current B40 mandate, which contains 40% palm oil-based biodiesel, is sufficient given increased diesel output from the Balikpapan refinery. Trials for B50 in heavy machinery, trains, and other sectors will continue, with a potential future rollout dependent on the price gap between conventional diesel and palm oil fuel. The decision weighed on benchmark Malaysian palm oil prices, which fell 0.52% after the announcement, reversing earlier gains. Analysts noted the B50 scrapping reduces expected domestic palm oil absorption, potentially keeping prices under pressure and making Malaysian palm oil more competitive internationally. To sustain the biodiesel subsidy programme, Indonesia will raise its crude palm oil export levy to 12.5% from March 1, up from the current 10%, while levies on refined products will rise by 2.5 percentage points. The move is expected to support the Indonesian Estate Crop Fund Agency’s (BPDP) ability to fund the biodiesel programme, which this year is allocated 15.65 million kilolitres of palm oil-based diesel, including 7.45 million kilolitres subsidised. Industry groups welcomed the decision. GAPKI, the Indonesian Palm Oil Association, said sticking with B40 balances domestic demand, production, and exports, helping to maintain CPO prices and safeguard revenue from export levies. Meanwhile, the Indonesian Palm Oil Farmers Association (POPSI) noted that higher levies could shift some global demand to alternative suppliers like Malaysia. Overall, the government’s move reflects a cautious approach to biodiesel expansion, aiming to sustain domestic supply, manage subsidies, and protect Indonesia’s position in the global palm oil market.

TM Nxera has signed a multi-year power supply agreement with Tenaga Nasional Berhad (TNB) to secure 280 megawatts (MW) of electricity for its upcoming AI-ready, hyperconnected data centre campus in Iskandar Puteri, Johor. Phase one of the campus is scheduled to begin commercial operations later this year. The joint venture between Telekom Malaysia (TM) and Nxera, Singtel Group’s regional data centre arm, said the agreement is a key milestone in powering Malaysia’s digital economy and AI ambitions with reliable and sustainable energy. From left: TNB chief engineer (grid strategy), grid division Zalina Abdul Malek, TNB head of data centre, retail division Iskandar M Hussein, TNB senior chief network officer Ir. Mahathir Nor Ismail, TNB president / chief executive officer Datuk Ir. Megat Jalaluddin Megat Hassan, TNB chief retail officer Datuk Kamal Arifin A. Rahman, TM Nxera CEO Mahathir Said, TM Nxera and CEO of Singtel’s Digital InfraCo & Nxera Bill Chang, TM group CEO Amar Huzaimi Md Deris, TM Global executive vice president Khairul Liza Ibrahim and TM Nxera COO Benedict Kwok. “TM Nxera is more than just a data centre venture. This project will accelerate AI, cloud, and advanced technology adoption across industries,” said TM Nxera CEO Mahathir Said. “Securing 280MW of power enhances our ability to attract global technology investments and develop a thriving ecosystem for industrial growth in Malaysia.” The cloud-enabled, tier-three data centre campus is part of the Johor-Singapore Special Economic Zone and is designed to support large-scale AI workloads with a scalable capacity of over 200MW. It will serve hyperscalers, AI application providers, and enterprises, helping accelerate regional digital transformation and cloud adoption. Connectivity will be supported by TM and Singtel Group’s Digital InfraCo subsea cable networks, ensuring robust global reach and low-latency network performance, the company added. This campus represents one of Malaysia’s flagship digital infrastructure investments and is poised to strengthen the country’s position as a leading hub for cloud computing and AI innovation in the region.

A consortium led by Kinergy Advancement Bhd  has signed an equipment supply agreement for the planned 1.5-gigawatt (GW) combined cycle gas turbine (CCGT) power plant in Perlis. The consortium also includes Sirage Holdings Sdn Bhd and B.Grimm Power, a leading diversified energy company in ASEAN. The agreement covers the supply of a 9HA.02 gas turbine and an H78 generator for the first phase of the multi-phase Teknologi Tenaga Perlis Consortium (TTPC) project. Kinergy, the consortium lead, has evolved from an engineering contractor into a full-fledged project developer, managing power plant development, execution, and operations. Located on a brownfield site previously hosting a 650MW CCGT plant, the TTPC site provides access to existing transmission, gas, and water infrastructure, enabling faster development of the next-generation plant and supporting Malaysia’s energy transition goals. The project also bolsters Kinergy’s growth prospects, building on its experience as PETRONAS Gas Bhd’s local technical partner and main EPCC contractor for the 72MW Sipitang and 120MW Labuan gas engine plants, highlighting its capacity to handle larger EPCC projects.

Alam Maritim Resources Bhd, an oil and gas services provider, has secured a RM29 million contract to carry out free-span rectification work on a gas pipeline offshore Terengganu. The contract was awarded by Vestigo Petroleum Sdn Bhd and involves rectifying unsupported sections along the 60km Tembikai Non-Associated Gas pipeline, with the project expected to be completed within six months, according to a filing with Bursa Malaysia on Thursday. Free-span rectification refers to the repair and support of pipeline sections that are suspended or not properly resting on the seabed, ensuring the integrity and safety of offshore infrastructure. The award marks a significant win for Alam Maritim, which has previously worked with Vestigo on the Tembikai gas development project. The two companies had been involved in a legal dispute over unpaid work under a 2019 contract, which was resolved in April 2025 when Vestigo agreed to drop its lawsuit challenging a RM52.79 million adjudication award in favor of Alam Maritim. The latest contract reinforces Alam Maritim’s expertise in offshore pipeline services and its capability to handle technically complex projects. It also highlights the company’s ongoing collaboration with key players in Malaysia’s energy sector, as demand for reliable oil and gas infrastructure continues to grow. Following the announcement, Alam Maritim’s shares closed one sen lower at 31.5 sen, representing a 3.08% decline and giving the company a market capitalisation of RM138.16 million.

Orkim Bhd, an oil and gas shipping company, has secured a two-year marine transportation contract from petrol retailer Boustead Petroleum Marketing Sdn Bhd (BHPetrol), with an option to extend for a further year. Under the agreement, effective from Jan 1, 2026, to Dec 31, 2027, Orkim will provide marine transport services for an estimated 200,000 tonnes of petroleum products annually, subject to a ±20% variation. The contract’s value will depend on cargo nominations issued by BHPetrol and the agreed schedule of rates. BHPetrol is one of Orkim’s top five clients, collectively accounting for over 90% of the company’s revenue, alongside Petroliam Nasional Bhd, Shell Group, Petron Malaysia Refining & Marketing Bhd, and Japan-based Nippon Gas Line Co Ltd. Orkim shares closed unchanged at RM1.09 on Thursday, giving the company a market capitalization of RM1.09 billion. The firm made its Main Market debut on Dec 9, 2025, at an IPO price of 92 sen.

Chinese independent refiners, often called “teapots,” are expected to switch from Venezuelan crude to heavy oil from other sources, including Iran, in the coming months, according to traders and analysts. The shift comes after Venezuelan shipments to China slowed following the US capture of President Nicolas Maduro and a new US-Venezuela agreement to export crude to the United States. Analysts say the reduction in Venezuelan supply will affect teapots that rely on discounted heavy barrels, but ample supplies from Russia and Iran mean refiners can maintain operations without paying higher prices. In 2025, China imported around 389,000 barrels per day of Venezuelan crude, about 4% of its total seaborne imports. Venezuelan crude already en route to Asia is enough to cover roughly 75 days of Chinese demand, providing some short-term buffer. Traders expect teapots to begin switching to Russian and Iranian crude in March and April, with additional alternatives available from Canada, Brazil, Iraq, and Colombia. Iranian Heavy crude, priced about US$10 below ICE Brent, is seen as the cheapest option. Other potential replacements include Middle Eastern grades such as Iraqi Basrah, while Canadian crude discounts have widened recently due to lower expected demand from China.

Vantris Energy Bhd, through its indirect wholly owned subsidiary Sapura Offshore Sdn Bhd, has secured offshore transportation and installation (T&I) work orders in Malaysia from PETRONAS Carigali Sdn Bhd with a total contract value of RM1.4 billion. In a filing with Bursa Malaysia, the group — formerly known as Sapura Energy Bhd — said the awards cover T&I services for offshore facilities under the Sepat integrated redevelopment project and the Belud South greenfield development project, in line with its existing offshore facilities T&I contract. Vantris said it is well-positioned to continue strengthening operational excellence across all its businesses. The work orders are expected to begin in the first quarter of 2026. The Belud South scope is targeted for completion by the fourth quarter of 2027, while the Sepat project is scheduled to be completed by the third quarter of 2029. Vantris said the projects will be carried out by its engineering and construction (E&C) division, reflecting the group’s continued focus on strengthening the segment through disciplined execution of its core competencies and a strategic shift towards lower-risk contracting structures. Group chief executive officer Muhammad Zamri Jusoh said the contract wins highlight Vantris Energy’s offshore T&I capabilities and its commitment to delivering sustainable performance across its core businesses. “These awards reinforce our strategy of pursuing opportunities that align with our technical strengths, regional presence and risk appetite,” he said. Following the completion of its restructuring in September 2025, Vantris noted that its improved balance sheet places the group in a stronger position to enhance operational excellence and maintain momentum in project execution and delivery.

MidOcean Energy, a liquefied natural gas (LNG) company formed and managed by institutional investor EIG, has successfully completed the acquisition of a 20% stake in key Canadian entities owned by Petroliam Nasional Bhd (PETRONAS). The acquisition includes a 20% interest in the North Montney Upstream Joint Venture, which holds PETRONAS’ upstream oil and gas assets in Canada, as well as a 20% stake in the North Montney LNG Ltd Partnership, which represents PETRONAS’ 25% participating interest in the LNG Canada liquefaction project. This strategic investment allows MidOcean to gain a strong foothold across the entire LNG value chain, from upstream exploration and production to downstream liquefaction and export. The acquisition provides MidOcean with approximately 700,000 tonnes per annum of LNG, while also creating opportunities for future growth as demand for liquefied natural gas continues to expand globally. According to EIG, the transaction enhances MidOcean’s ability to secure critical energy resources while leveraging PETRONAS’ established operations and expertise in Canada’s North Montney region. The investment also reflects MidOcean’s long-term strategy of building an integrated position across the LNG sector, capturing value across both upstream and downstream operations. Financial advisory services for the deal were provided by RBC Capital Markets, while legal advisory was handled by Latham & Watkins. The acquisition reinforces EIG’s commitment to investing in high-quality energy assets worldwide. Headquartered in Washington, DC, EIG is a global institutional investor specializing in energy and energy-related infrastructure, with extensive experience in private investments across the energy sector. This acquisition positions MidOcean as a key participant in Canada’s LNG market and strengthens its ability to meet growing global energy demand, while also offering strategic long-term growth opportunities for its investors.

Gadang Holdings Bhd, together with joint venture partner Hotrend Corporation Sdn Bhd, has signed a 25-year power purchase agreement (PPA) with Sabah Electricity Sdn Bhd for a 15MW large-scale solar project in Tawau, Sabah. The agreement was signed by Tenaga Aspirasi Sdn Bhd, the project company, which is 60% owned by Gadang’s wholly owned subsidiary, Regional Utilities Sdn Bhd, and 40% by Hotrend. Under the PPA, Tenaga Aspirasi will be responsible for designing, building, operating and maintaining the solar photovoltaic plant, which will be connected to Sabah Electricity’s Kubota main distribution substation. The PPA covers the sale and purchase of electricity generated by the plant for 25 years, starting from the commercial operation date, which is expected on 30 November 2026. The Tawau solar project was awarded to the Gadang-led JV in December last year by the Energy Commission of Sabah following a competitive bidding process for large-scale solar developments in the state. Gadang shares closed unchanged at 25.5 sen, giving the group a market capitalisation of RM204.22 million.