Kuala Lumpur, 10 October 2025 — Integrated engineering solutions provider Kelington Group Berhad (“Kelington” or “the Group”) (Bursa: 0151) has announced the signing of a Memorandum of Understanding (MoU) with Worldwide Energy Development Sdn. Bhd. (“WED”) and SKS Coachbuilders Sdn. Bhd. (“SKS”) to jointly develop a 2 Megawatt (MW) Green Hydrogen Production Hub at the Batang Kali Small Hydropower Plant (SHP) in Selangor.
The partnership represents a landmark step in advancing Malaysia’s green hydrogen ecosystem, leveraging renewable hydropower to produce zero-emission hydrogen through electrolysis.
A Three-Way Collaboration for Hydrogen Innovation
Under the MoU, Kelington’s wholly owned subsidiary Ace Gases Sdn. Bhd., led by Managing Director Ryan Chong Ann Tsun, will spearhead the development of the green hydrogen electrolyser plant and oversee hydrogen production at the Batang Kali SHP. Ace Gases will also lead market development and explore downstream business opportunities related to hydrogen adoption.
Meanwhile, WED, a subsidiary of Worldwide Holdings Berhad and one of Selangor’s state-linked conglomerates, will provide land, renewable energy supply, water resources, and regulatory support for the project. WED is also the developer of the 5.1MW Batang Kali SHP, which began operations in December 2024, and currently leads the Selangor Hydrogen Oriented Resources Programme (SHORE), the state’s flagship hydrogen initiative.
SKS Coachbuilders, a leading Malaysian bus manufacturer with regional presence, will spearhead downstream integration. The company will deploy Fuel Cell Electric Vehicle (FCEV) buses, establish hydrogen refuelling stations, and promote local industry participation and job creation, supporting Malaysia’s shift to clean mobility.
The MoU is effective for two years, with an option to extend by mutual agreement.
Driving Selangor’s Hydrogen Future
The 2MW Green Hydrogen Production Hub is classified as a green hydrogen project, as the hydrogen will be produced entirely via renewable hydropower from the Batang Kali SHP. The initiative directly supports Malaysia’s National Energy Transition Roadmap (NETR) and the Hydrogen Economy and Technology Roadmap (HETR) launched in 2023, while aligning with Selangor’s broader SHORE sustainability initiative.
Ir. Raymond Gan (顏漢慶), Chief Executive Officer of Kelington Group Berhad, said the partnership represents a vital move towards realising Malaysia’s green energy ambitions.
“We are honoured to sign this MoU with WED to explore a 2MW green hydrogen hub at the Batang Kali SHP in Selangor. This initiative supports Selangor’s hydrogen ecosystem by covering the full value chain, from upstream production to midstream refuelling and downstream mobility.”
He added that Kelington, through Ace Gases, brings decades of industrial gas expertise to the collaboration.
“By leveraging renewable hydropower and proven electrolyser technology, we aim to demonstrate a reliable and sustainable pathway for green hydrogen that can be deployed in both transport and industrial applications,” he said.
Hydrogen Momentum Building Globally
Globally, hydrogen adoption is accelerating at record pace. As of 2024, over 1,000 hydrogen refuelling stations were operational worldwide, with installed electrolyser capacity exceeding 2 gigawatts (GW). China leads deployment, accounting for roughly 65% of global capacity, while India, Germany, Spain, and Australia are pursuing gigawatt-scale projects under their national hydrogen strategies.
Kelington’s collaboration places Malaysia firmly within this global hydrogen narrative, demonstrating the nation’s readiness to pursue clean hydrogen projects backed by industrial expertise and renewable resources.
“Across the world, industries are looking for cleaner and more reliable energy options, and hydrogen is fast becoming part of that conversation,” Ir. Raymond Gan said. “This MoU enables us to explore what is practical for Malaysia, and if the results are positive, we look forward to the next steps with our partners and stakeholders. Our goal is to contribute to a cleaner energy future while building long-term capabilities that support Malaysia’s decarbonisation pathway.”
Supporting Malaysia’s Energy Transition
This collaboration reinforces Kelington’s long-term commitment to sustainability and innovation, complementing its existing expertise in industrial gases, engineering services, and precision manufacturing. By aligning with national decarbonisation goals and regional hydrogen initiatives, Kelington is poised to become a key player in Malaysia’s green hydrogen value chain, creating new opportunities in renewable energy, transportation, and industrial applications.
