KUALA LUMPUR (April 3): Cypark Resources Bhd (KL:CYPARK) is expected to undertake a new floating solar farm project at Tasik Kenyir worth RM2 billion in partnership with Tenaga Nasional Bhd (KL:TENAGA), according to sources.
The project is part of the 2.5GW Hybrid Hydro-Floating Solar (HHFS) photovoltaic (PV) project at Genco Hydro reservoirs spearheaded by TNB.
“Cypark is expected to sign an engineering, procurement, construction and commissioning (EPCC) contract with Tenaga to build a floating solar at the HHFS project,” a source told The Edge.
Looking at the size of the contract, the project is a large scale solar farm project.
Another source said the contract is estimated to be completed between 18 and 24 months.
Cypark declined to comment when contacted.
In December 2024, Cypark announced that it was partnering with the Terengganu state government to develop a 500 megawatt (MW) HHFS plant at Tasik Kenyir.
The 500MW HHFS project is the first of its kind in Malaysia, harnessing Tasik Kenyir’s water for clean energy generation.
“It will be the single largest site in Malaysia that will combine solar energy production, battery storage, as well as unlocking the potential of Malaysia’s extensive bodies of water,” Cypark said at that time.
The joint venture, it said, is to be led by TNB Power Generation Sdn Bhd (TNB Genco), which would design, build and operate the plant. Design for the project was set to begin in 2025.
According to TNB’s website, the HHFS project is expected to have a potential to generate 2.5GW power. The utility giant said that the project has the potential to participate under the Corporate Renewable Energy Supply Scheme (CRESS) framework, which was officially open for application by the Energy Commission in September 2024.
The HHFS project combines solar PV systems with existing hydroelectric power infrastructure. This integration aims to maximise the use of hydro reservoirs for solar energy production.
“The primary objectives of this project are to harness the synergy between solar and hydroelectric power, optimise resource utilisation and contribute to Malaysia’s renewable energy targets.
“The HHFS system involves installing solar panels on floating platforms over hydro reservoirs. These panels generate electricity during the day while the hydroelectric power plants continue to operate, providing a continuous energy supply even during periods of low sunlight,” TNB said.
Cypark is an integrated RE and environmental solutions provider, with pioneering projects in solar, biogas and waste-to-energy (WtE). These include the country’s first SMART WtE facility in Port Dickson, Negeri Sembilan. Presently, the group has 400MW of installed RE capacity.
For the third quarter ended Jan 31, 2026, Cypark slipped into the red with a RM17 million net loss, compared to a net profit of RM8.76 million a year ago.
Revenue increased nearly 9% to RM43.2 million in the quarter from RM39.7 million previously. No dividend was declared for the quarter under review.
In an interview with The Edge last December, Cypark chairman Tan Sri Abdul Wahid Omar said that the group is moving from turnaround mode to growth mode. This includes pivoting to a partnership-led model. In August last year, the group formalised a strategic collaboration with MBSB Bank Bhd (KL:MBSB) to support the funding, development and scaling of renewable energy projects.
Under the collaboration, MBSB Bank will provide RM1.3 billion in Islamic financing facilities to refinance Cypark’s established renewable energy assets in solar and WtE.
“Our partnership with MBSB marked a turning point because it repositioned Cypark from a turnaround story into a national growth catalyst for clean energy. Working with institutional investors and technology partners enables us to undertake larger projects, integrate innovation and maintain financial agility. Ultimately, this model supports higher margins, faster cash conversion and more sustainable earnings visibility across the group. For shareholders, the question is what success looks like if Cypark can execute its plans and if policy support for WtE and renewables continues to firm up.
“Investors can expect consistency with transparent governance, disciplined capital management and steady performance,” said Wahid when asked to define success over the medium term.
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