Pestech International, a Malaysian company that specialises in solar power technology and infrastructure, has expanded its presence in the Kingdom.
The Edge Markets reported yesterday that Pestech has acquired a 94 percent stake in Green Sustainable Ventures (Cambodia). The investment is worth $4 million, according to the same report.
The Cambodian investment was included in the company’s latest filing with Bursa Malaysia (Malaysian Stock Exchange).
The move gave Pestech “super-majority rights” to a 20-MW solar farm project under development in Bavet city in Svay Rieng province. The project, which will occupy 30 hectares of land, is to generate 4.67 million kilowatt-hours per year.
The Bavet solar farm was one of the four major solar projects approved by the National Assembly last month. Three other solar farms will be built in the provinces of Banteay Meanchey, Battambang and Pursat. The four projects will generate a total of 140 MW.
According to previous reports, Green Sustainable Ventures (Cambodia) will invest $17.5 million for the Bavet solar project.
Under an agreement signed between the two parties, Green Sustainable Ventures (Cambodia) will remain as the developer of the project and will manage all functions related to engineering, procurement and construction (EPC).
The Edge Markets report said Pestech, as the “supermajority shareholder” may determine the appointment of the EPC and operations and maintenance (O&M) company to undertake the EPC scope for the entire project and O&M for the duration of the power purchase agreement that the Cambodian company earlier inked with the State-owned power utility company Electricite du Cambodge.
Pestech has been in Cambodia for many years now. The company built its first transmission line in Cambodia seven years ago. Later it won a contract to design, manufacture and install a 198km transmission line between Phnom Penh and the port city of Sihanoukville.
In 2017, it bagged the contract for a transmission line that will link Phnom Penh to the Stung Tatai hydropower dam in Koh Kong province.