Shanghai Electric（上海电气）said on September 8 that it had won the bid for Unit 3 of the Samalaju combined-cycle gas power project in Sarawak, Malaysia. The 500MW-class unit will use a gas turbine manufactured by the Chinese group, which described the award as paving the way for its first overseas application of such equipment.
Developed by Sarawak Energy Berhad in Samalaju Industrial Park, the project combines equipment supply with engineering and technical services. Shanghai Electric will provide the gas turbine, steam turbine, generator, heat-recovery steam generator and air-cooling system, alongside engineering, procurement, construction, commissioning and related support. The 500MW rating refers to the combined-cycle generating unit. Reporting on the award also highlighted 25-year long-term service coverage, extending the commercial relationship beyond equipment delivery.
The unit forms part of the broader Samalaju power development, which Sarawak authorities describe as approximately 1,500MW across three combined-cycle blocks. In May, the state government said the first two 500MW blocks were under construction, with commercial operations expected to begin in stages from 2027 and the overall development scheduled to reach full operation by 2029. The plant is intended to meet growing industrial electricity demand and complement Sarawak’s hydropower resources.
For Shanghai Electric, the commercial significance lies in combining its manufacturing capabilities with project delivery and sustained service support. Supplying the core turbine gives the group a central role in plant performance, while long-term maintenance and technical support could generate recurring business after construction ends. Successful execution would also provide an overseas operating reference for future regional bids.
The award illustrates an opportunity for Chinese power-equipment suppliers to compete through integrated packages covering machinery, construction and services. For utilities, the value of such an offering will depend on delivery schedules, operating reliability, spare-parts availability and support throughout the equipment’s working life.
Samalaju therefore represents a significant market entry milestone, with the decisive operational test still ahead. Turning the order into a reliable plant and a durable customer relationship will determine how effectively Shanghai Electric can expand its gas-turbine business across Southeast Asia.
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