Keppel Ltd. (Keppel), through its Infrastructure Division, has signed a non-binding Memorandum of Understanding (MOU) with the Japan Bank for International Cooperation (JBIC), aimed at establishing a clean energy supply chain in Asia that will help to advance the energy transition and promote sustainable digitalization in the region.
Under the MOU, both parties seek to cooperate in areas such as renewable energy, transmission lines for energy trade, hydrogen, ammonia, data centres and subsea cables in Asia. This collaboration leverages Keppel’s deep expertise in sustainability and connectivity solutions and JBIC’s financing capabilities and business networks, with the aim of contributing to carbon neutrality and economic growth in Asia. The partnership will also make avail potential financing for Keppel’s ongoing projects in electricity importation and low-carbon energy.
The MOU was signed in Singapore by Mr Chua Yong Hwee, Managing Director, Energy Nexus of Keppel’s Infrastructure Division and Mr Atsuki Shibuya, Deputy Director General, Director of Division 2, New Energy and Power Finance Department II, JBIC. The signing was witnessed by Mr Loh Chin Hua, CEO of Keppel, Ms Cindy Lim, CEO of Keppel’s Infrastructure Division, Mr Tadashi Maeda, Chairman of JBIC and Ms Kazuko Sakuma, Resident Executive Officer, Regional Head for Asia and Pacific, JBIC.
Mr. Chua Yong Hwee, Managing Director of Energy Nexus at Keppel’s Infrastructure Division, stated that the partnership with JBIC represents a significant step in advancing Asia’s low-carbon future. By combining Keppel’s expertise in sustainability and digital infrastructure with JBIC’s financial strength and Japanese technological advancements, they aim to build a strong energy supply chain and set new sustainability standards in Asia.
Keppel is addressing Asia’s increasing demand for cleaner energy and sustainable infrastructure through its involvement in several pioneering projects. These include leading cross-border low-carbon electricity trade in ASEAN, advancing clean energy initiatives involving hydrogen and ammonia, and developing and operating high-quality data centers across the Asia-Pacific, including hyperscale AI-ready assets in Japan, Singapore, and Taiwan. Additionally, Keppel is exploring opportunities to develop two new subsea cable systems with over 30 fiber pairs, connecting Southeast Asia to other parts of Asia and beyond.
The aforementioned MOU is not expected to have any material impact on Keppel’s earnings per share or net tangible assets per share for the current financial year.
