KNM secures RM93.63m energy storage vessel contract from Vattenfall

KUALA LUMPUR (Nov 27): KNM Group Bhd has secured a US$23 million (RM93.63 million) contract for the supply of equipment, piping systems and process control, and the integration of an energy storage vessel, from Germany-based power company Vattenfall Wärme Berlin AG.

The group told Bursa Malaysia in a filing that the contract involves the supply of overall engineering, delivery, installation and commissioning of equipment (static and rotary), piping systems, process control and integration of the energy/heat storage vessel for the Vattenfall Energy Storage “Reuter-West”, Berlin Project.

The job is expected to take 110 weeks, or a little over two years, to complete.

KNM said the project is part of the general strategy of the city of Berlin in Germany to meet its climate neutrality target, and the corresponding approach of Vattenfall to become independent from fossil fuels and to provide district heating by renewable energy sources.

“The transaction is expected to contribute positively to KNM’s earnings for the financial year ending Dec 31, 2021 (FY21), FY22 and FY23,” it added.

As at the time of writing today, KNM shares were trading one sen or 2.44% lower at 20 sen apiece, valuing the group at RM607 million.