The Board of Directors of Citaglobal ("Board") wishes to announce that LAWI Engineering GmbH ("LAWI Germany"), a 55%-owned entity of Citaglobal Environment Management Sdn Bhd ("CGEM"), which in turn is a 56.14%-owned subsidiary of the Company, accepted on 5 October 2026 a Letter of Award and Notice to Proceed dated 30 September 2026 issued by Siam Power ("LoA") to LAWI Germany and its consortium partner for the engineering, procurement and construction of a steam boiler plant for the Project, as well as the basic engineering for the technology component of the entire waste-to-energy ("WTE") power plant, for a total contract price of approximately RM52.1 million, comprising the following:
- EUR6,325,500 (equivalent to approximately RM29.0 million, based on an exchange rate of EUR1.00:RM4.5921) for the portion of the contract to be imported and undertaken by LAWI Germany ("Import Portion Contract"); and
- THB189,630,600 (equivalent to approximately RM23.1 million, based on an exchange rate of THB100:RM12.1674) for the portion of the contract to be locally supplied and undertaken by the consortium partner ("Local Portion Contract"),
exclusive of applicable taxes and duties (collectively, the "Contract").
The Import Portion Contract comprises LAWI Germany's overall project engineering and project management of the LAWI EtaPlant boiler island ("Boiler Island"), as well as the basic engineering for the technology component of the entire WTE power plant, including the engineering and supply of LAWI Germany's proprietary LAWI EtaComb Advance S combustion system and its complementary systems and parts, together with the LAWI EtaLogic process optimisation system.
The Local Portion Contract comprises the local consortium partner's engineering, local fabrication and supply of the Thailand-sourced components of the Boiler Island. The consortium partner is also responsible for the customs clearance and domestic transport of the imported portion, site management, the provision of heavy construction equipment, and the erection, installation and commissioning of the Boiler Island.
The Boiler Island is targeted to achieve commercial operation 13 months from the effective date of the LoA, i.e., 30 September 2026.
Acceptance of the Contract is in the ordinary course of LAWI Germany's business.
The Contract will not have any effect on the issued share capital or the shareholdings of the substantial shareholders of the Company.
The Import Portion Contract is expected to contribute positively to the earnings, earnings per share and net assets of the Group during the Contract period.
The Company does not foresee any exceptional risks other than the normal operational risks associated with the Contract and the foreign exchange risk arising from the Import Portion Contract being denominated in EUR. Nevertheless, the Company will take the necessary steps to mitigate the risks as and when they arise.
None of the directors or major shareholders of the Group, or persons connected with them, has any interest, whether direct or indirect, in the Contract.
Information on LAWI Germany
LAWI Germany is a private limited liability company (GmbH) incorporated in Germany and headquartered in Kiel. Founded in 1996, LAWI Germany owns the technology and intellectual properties rights to design, install and commission the entire boiler island and the engineering for the power block cycles of the WTE power plant with multifuel like refuse-derived fuel, municipal solid waste, industrial waste and biomass.
LAWI Germany owns and has nationally 3 trademarks at the German Patent and Trade Mark Office since 2013 for its technology/products, which are LAWI EtaComb (combustion/firing system), LAWI EtaPlant (boiler islands and power plant system) and LAWI EtaLogic (process and operation optimisation system).
To date, LAWI Germany had completed more than 50 biomass and WTE power plant projects with a total installed capacity of approximately 445 MWe across 10 countries, the majority of which are located in Thailand.
Information on Siam Power
Siam Power is a private limited company established in Thailand in 2013 and is principally involved in the development and operation of WTE power plants in Thailand. Siam Power is a joint venture in which TPC Power Holding Public Company Limited, a company listed on the Stock Exchange of Thailand, holds 50% of the issued shares, while Mr Thawee Chongkavanit and Mr Weeraphol Chokwitayarat hold 48% and 2%, respectively.
Siam Power owns and operates a refuse-derived fuel (RDF) plant and a community WTE power plant in Nonthaburi Province, Thailand. The community WTE power plant commenced the commercial sale of electricity in 2021 under an 8 MW power purchase agreement with the Metropolitan Electricity Authority of Thailand.
Information on the Project
The Project is a municipal solid waste-fired WTE power plant located in Naklang Subdistrict, Sung Noen District, Nakhon Ratchasima Province, Thailand. The plant is designed to process up to 500 tonnes of waste per day and generate approximately 9.9 MWe of electricity. It will deploy LAWI Germany's proprietary EtaPlant and EtaComb technologies for the combustion and steam generation systems.
This announcement is dated 5 October 2026.