M K Land Holdings Berhad (M K Land) has taken a significant step towards renewable energy by entering into a Memorandum of Understanding (MOU) with MajuPerak Holdings Berhad (MHB). The core objective of this MOU is to establish a collaborative framework for exploring and addressing various commercial aspects related to the development of a floating solar farm in the state of Perak.
MHB, a publicly listed investment holding company on the Main Market of Bursa Malaysia Securities Berhad, primarily specializes in property development and maintenance services. In contrast, M K Land, also listed on the Main Market of Bursa Malaysia Securities Berhad, is primarily engaged in property development, leisure, and renewable energy ventures.
The MOU outlines several essential terms and conditions:
- MHB and its subsidiaries intend to assess the commercial potential of establishing a floating solar farm in a selected area within Perak.
- M K Land, or its subsidiary entities, possess the requisite technical expertise and experience in the development, operation, and maintenance of solar farms. They are eager to collaborate with MHB or its subsidiaries during the initial exploration phase.
- Both parties will bear their respective costs and expenses incurred during the discussions related to the MOU. All deliberations will be conducted in good faith, fostering mutual benefit.
- It is important to note that MHB’s participation in the MOU does not serve as a guarantee of project implementation. The realization of the project depends on various commercial considerations, risk assessments, project viability, technical assessments, and obtaining relevant approvals from the authorities in the State of Perak and, where applicable, at the Federal level.
- The MOU is initially set for a term of twelve (12) months, commencing from the date of signing. Unless a party issues a written notice stating otherwise, it shall automatically extend for an additional six (6) months from the expiry date.
- Either party may choose to withdraw from the MOU within the stipulated term or extended period provided that they provide a three (3) months written notice of withdrawal.
- Importantly, the MOU does not create an exclusive relationship between the parties. Both parties understand that it shall not restrict their ability to use their information or data for discussions, negotiations, and potential business or investment arrangements with third parties.
This MOU signifies a significant milestone for M K Land as it aligns with the company’s focus on renewable energy solutions. It lays the groundwork for collaboration and exploration between MHB (or its subsidiaries) and M K Land (or its subsidiaries) to develop a floating solar farm within Perak.