Reservoir Link unit secures RM11.4 mil order to supply mounting structures for photovoltaic plants

KUALA LUMPUR (Jan 26): Reservoir Link Energy Bhd’s unit won a RM11.4 million contract for the supply of mounting structures for large-scale solar (LSS) photovoltaic plant development.

In a filing to Bursa Malaysia, the group said its 51% owned subsidiary Founder Energy Sdn. Bhd, received the purchase order from Fabulous Sunview Sdn Bhd for the project.

The goods, which include coated carbon steel and hot dipped galvanised carbon steel top structure, are expected to be supplied to LSS photovoltaic plants at the project location between January and April, said Reservoir Link.

It said the contract will not have any effect on its share capital and shareholding structure and there will not be any immediate effect on its net assets and gearing.

“However, the contract is expected to contribute positively towards the earnings of the company and its subsidiaries for the financial year ending June 30, 2023,” Reservoir Link added.

For the first nine months of 2022, Reservoir Link For reported a net loss of RM5.9 million, against a net profit of RM9.8 million for the same period of 2021, due to lower profit margin from the renewable energy segment.

Revenue fell to RM65 million from RM78.6 million on the back of a decline in revenue from the oil and gas segment.

Shares of Reservoir Link settled 4% or 1.5 sen higher at 39 sen, giving the group a market capitalisation of RM111.70 million.