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JLand Group, Mitsui to develop hyperscale data centre, solar farm

JLand Group, Mitsui to develop hyperscale data centre, solar farm

06 Dec 2022

  • MOU will explore other potential investment ventures within JLand’s portfolios
  • Both parties will conduct a feasibility study on developing a hyscale data centre

JLand Group Sdn Bhd (JLG) has signed a memorandum of understanding (MOU) with Mitsui and Co Ltd, through its wholly owned subsidiary Mitsui and Co. (Malaysia) Sdn. Bhd (Mitsui) to jointly explore prospective business opportunities and strategic project developments in Ibrahim Technopolis (IBTEC) including Sedenak Tech Park (STeP). 

This will be done over the next two to three years, the real estate and infrastructure arm and subsidiary of Johor Corporation (JCorp) said in a statement. 

It said within the immediate terms of the MOU, the firm and Mitsui will conduct a joint feasibility study on the development of a hyperscale data centre as well as a renewable energy (RE) facility in the form of a captive solar farm to power the data centres in STeP. 

It added that following the completion of the study, JLG and Mitsui and its co-developers will form a joint venture partnership to invest, develop and operate these projects.

Syed Mohamed Syed Ibrahim, president and chief executive of JCorp and chairman of JLG, said this strategic collaboration with Mitsui is a testament to our sustainable-driven projects and dedicated focus on enabling corporations to meet their ESG goals. 

“In an increasingly data-dependent digital economy, we are proactively identifying and implementing renewable energy sources for the future of decarbonising data centres.

“This initiative is one of the major milestones for JCorp’s vision of a sustainable future, while ensuring the state and country meets its decarbonisation aspirations,” he said.

Akmal Ahmad, director, real estate and infrastructure division at JCorp, said the MOU between JLG and Mitsui reflects the commitment displayed by responsible corporations to shift towards cleaner energy sources to power their businesses. 

“Our strategic partnership to develop these high-value sustainable projects brings together collective industry knowledge and technical expertise to further transform the energy industry.

“JLG is proud to reinforce our contribution to Johor’s renewable energy goals, while catering to the growing needs of industrial customers in STeP that requires green and clean energy as secondary power supply,” said Akhmal.

He added that the positive boom of the data centre sector over the past years has brought the importance of sustainability and renewable energy to the fore, as data centre operators explore cleaner technologies to turn operations green. 

“We are proud to be among the pioneers in hyperscale green data centres in Johor and are excited to partner with Mitsui and RE co-developer to advance the decarbonisation of data centres through clean power procurement,” he said.

Under this strategic collaboration, STeP, the flagship 700-acre data centre hub is poised to attract the global hyperscale data centres. 

It aims to do this by offering future availability of RE and comprehensive supporting packages including competitive green project financing from the market. 

This will provide excellent opportunities for regional customers seeking green data centres to meet their needs, it aid.

According to JLG, the collaboration will also involve other industry partners as co-developers, who will contribute sector expertise and knowledge transfer throughout the project investment, design, development, and maintenance phases.

It said as part of the MOU, JLG and Mitsui will also explore other potential investment ventures within the group’s portfolios. This includes Ibrahim Technopolis (IBTEC) which focuses on advanced industrial developments and environmentally friendly technologies, as well as the port business. 

Other areas of interest may include, but not limited to renewable energy, digital and mobility infrastructure and high-tech industrial development.

Source: Digital News Asia