Malaysia-based Sarawak Energy has signed an agreement with General Electric (GE) and Sinohydro for the construction of the 400MW combined cycle gas turbine (CCGT) Block at Tanjung Kidurong in Sarawak, Malaysia.

The MYR1bn ($239M) project will be constructed within the existing Tanjung Kidurong (Bintulu) power station.

The development will see new advanced gas turbine technology and more efficient combined cycle gas turbines replacing the existing open cycle turbines at the Tanjung Kidurong Power Station.

GE, along with consortium partner Sinohydro, will serve as the engineering, procurement and construction (EPC) contractor for the facility.

This contract represents the main package for the project, out of six packages.

Sarawak Energy CEO Torstein Dale Sjøtveit said: “The new and advanced technology will generate electricity at a higher efficiency and output, enabling us to meet growing demand of Sarawak’s organic load.

“We will ensure that the plant will be effectively and safely operated through the Long Term Service Agreement (LTSA) which is crucial for the long term operational maintenance of the plant.”

Work on the project will start at the end of November 2016 and is anticipated to be completed by mid-2019.