First block of Kimanis 100 MW Gas turbine power plant expected to be completed in 2013

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By PNA / Bernama and Saigon News Agency / Asian

The first generation block of 100 megawatts (MW) of the proposed 300 megawatt Combined Cycle Gas Turbine Power Plant in Kimanis, Papar, is expected to be completed in December 2013, said state Minister of Industrial Development, Datuk Raymond Tan Shu Kiah.

He said the power plant and its related projects, costing about RM1.6 billion, is expected to supplement Sabah’s increasing demand for electricity.

This he added, is in tandem with its industrial and economic growth, thus spurring further investments in the state.

Tan said the project would ensure Sabah’s energy plan provides sufficient electricity for both the short and long term as well as domestic and industrial use.

“The Kimanis power plant is taking off and will certainly boost electricity supply in Sabah,” he added.

He was speaking to reporters after witnessing Kimanis Power Sdn Bhd sign the engineering, procurement, construction and commissioning contract award with the consortium of CTCI Corporation of Taiwan, here Monday.

Tan represented Chief Minister Datuk Seri Musa Aman in witnessing the signing ceremony. Managing director Mohd Ali Hashim signed on behalf of Kimanis Power and CTCI chairman and chief executive officer (CEO) John T. Yu, for the consortium.

Under the contract, the consortium will develop, construct and commission the gas-fired power plant and its related facilities and infrastructure.

Tan said the Kimanis power plant was designed in a such a way that it can be expanded up to a maximum 400 MW, if necessary, in future.

In addition, he said, there was also an Independent Power Producer (IPP) sited in the area with the ability to produce up to 100 MW.

“That means in Kimanis alone, there will be an additional power supply of about between 400-500MW and another 300 MW gas-fired plant on the east coast.

“I believe, in future, there will be sufficient electricity supply to cater to the needs of the people and the industry throughout Sabah,” he added.

Kimanis Power Sdn Bhd is a 60:40 joint-venture initiative between Petronas Gas Berhad (PGB) and NRG Consortium (Sabah) Sdn Bhd, a business arm of the Yayasan Sabah Group.

Apart from CTCI Corporation, the other members of the consortium are CTCI Overseas Corporation Ltd,CTCI Malaysia Sdn Bhd, Synerlitz (M) Sdn Bhd (formerly known as Steamline (M) Sdn Bhd) and SCHB Engineering Services Sdn Bhd (a subsidiary of Suria Capital Holdings Berhad).

The project, located on a 16.59-hectare site in Kimanis, is a major spin-off from the proposed Sabah offshore Gas Terminal (SOGT) project. The project is also located in Kimanis and implemented by Petronas Carigali Sdn Bhd.

Tan said the power plant would also create more job and business opportunities, and hoped locals, including contractors would be given priority in undertaking it.

He said a training center to cater to the oil and gas industry would also be established in Kimanis, thus giving an opportunity to young locals to be trained in this specialized field.

On the recent call by the Sabah Oil and Gas Contractors’ Association to the government to review the Petroleum Act 1974, Tan said every Sabahan including himself, would support such a review if it can bring about positive results in favor of the state.

However, he said there must be a basis for such a review, and not just be politicized for political gains.

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