Aslan Energy Capital, based in Singapore, has signed a significant Heads of Agreement with the Government of Karimun Regency in Indonesia’s Riau Islands. The agreement marks the beginning of an ambitious development project called MU CITY, which is being planned as a next-generation ecosystem focused on clean energy, electric mobility, advanced manufacturing, and digital innovation. The location of Karimun at a strategic point between Singapore, Malaysia, and Indonesia makes this development an important step for regional growth and energy transformation.
The agreement confirms shared intentions to build a modern integrated industrial and innovation hub that supports Southeast Asia’s push toward a low-carbon and digitally advanced future. MU CITY is designed to align with Indonesia’s renewable energy goals and digital transformation roadmap, helping the region move toward cleaner and smarter development. The project represents an estimated investment of USD 2.3 billion over the next three years, the largest single investment ever made in Karimun.
MU CITY will cover approximately 4,000 hectares and will be powered by up to 2 gigawatts of solar energy, along with an additional 2 gigawatts of gas-based power. This combination is expected to create one of Southeast Asia’s largest sustainable energy ecosystems. A major portion of the generated energy will support industrial zones, high-tech data campuses, and mobility manufacturing units within MU CITY. The remaining energy will be exported to ASEAN countries to support clean power needs across the region and strengthen Indonesia’s position as a regional clean energy supplier.
The development features three main industrial zones designed to complement each other. The Clean Energy Hub will include large solar power plants, battery energy storage facilities, LNG import systems, combined cycle gas turbine infrastructure, and blue ammonia storage, forming the core of the energy supply. The Mobility and Manufacturing Hub will focus on electric vehicle assembly, battery production, AI-related chip manufacturing, and green industrial processing. The AI and Digital Infrastructure Hub is expected to support up to 1.21 gigawatts of hyperscale data center capacity dedicated to artificial intelligence, cloud systems, and high-performance digital processing powered by renewable energy from within MU CITY.
Aslan is developing the project through a cooperative model that involves local communities directly. More than 10,000 residents are expected to take part in various opportunities such as profit-sharing, equity access, education programs, and skill development training. This approach aims to ensure that local people become key stakeholders in the project’s success and long-term impact, supporting economic growth and social inclusion.
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