KUALA LUMPUR (Nov 14): YTL Power International Bhd's (KL:YTLP) 53.2%-owned subsidiary Ranhill Utilities Bhd (KL:RANHILL) has scrapped plans to jointly pursue a public-private partnership project with China Energy International Group Co Ltd (CEIG) for the proposed development of a regional drinking water supply facility project in Indonesia. This follows the expiry of a memorandum of understanding (MOU) on Oct 29.

In a filing with Bursa Malaysia on Thursday, Ranhill said following the MOU expiry, neither party will have any claim against the other in respect of the memorandum. It added that the decision will not have any material financial impact to the group.

Ranhill had on Oct 30 last year signed a MOU with CEIG to collaborate and jointly pursue the development of the Djuanda source-to-tap water supply system (Jatiluhur II) project and to co-develop and cooperate on other potential projects in Southeast Asia.

CEIG is a subsidiary of China Energy Engineering Corp Ltd (CEEC), which is listed on the main board of both the Hong Kong Stock Exchange and the Shanghai Stock Exchange. CEEC provides a systematic, integrated, full life cycle and package of development solutions and services to industries such as energy and power, infrastructure.

Ranhill shares closed up seven sen or 5.22% at RM1.41 on Thursday, giving it a market capitalisation of RM1.83 billion. The stock has risen 53.3% year to date.