Keppel DHCS secures new JTC, MediaCorp cooling system contracts

New contracts bring 2013 total to S$80m.

In a release, Keppel DHCS Pte Ltd (Keppel DHCS), an indirect wholly-owned subsidiary of Keppel Infrastructure Holdings Pte Ltd, announced that it was awarded tender by JTC Corporation (JTC) to design, build, own and operate a new district cooling systems (DCS) plant at JTC's Multi-Utility Hub at Mediapolis, and has secured a contract to provide DCS services to MediaCorp's new campus at Mediapolis@one-north. At the same time, the company has secured a contract to provide its services to the upcoming Rohde & Schwarz building, a development at Changi Business Park.

The new contracts, with tenures ranging from 20 to 30 years, have brought the total value of contracts secured by Keppel DHCS in 2013 to S$80 million.

The new DCS plant at Mediapolis will have a capacity of 30,000 Refrigeration Tons (RT) to serve upcoming developments at one-north, including MediaCorp's new campus from the second quarter of 2015. The new Mediapolis DCS Plant will be connected to the existing Biopolis DCS Plant, complementing its service delivery to the entire one-north development.

With MediaCorp as a new customer, Keppel DHCS will service a total of 18 developments located at one-north, spanning 750,000m2 of Gross Floor Area (GFA).

Keppel DHCS' expansion of its existing plant at Changi Business Park was completed in May 2013. The expanded plant has a capacity of 17,500 RT and will serve 17 buildings at Changi Business Park, spanning 450,000m2 of GFA. Keppel DHCS will serve the upcoming Rohde & Schwarz building at Changi Business Park from the third quarter of 2013.

Mr Joseph Ng, Chief Executive Officer of Keppel DHCS, said, "We are committed to deliver value for our customers by providing efficient water-cooled air-conditioning systems that offer significant benefits in energy conservation. The new contracts further strengthen our presence at one-north and Changi Business Park, and reflect the confidence of our customers in the reliability and quality of our facilities and service."

Keppel DHCS currently provides environmentally-friendly DCS services to three major developments in Singapore - Changi Business Park, one-north and Woodlands Wafer Fab Park. Its clients include a portfolio of blue chip multinational companies such as Ascendas, Citibank, DBS Bank, GlaxoSmithKline, Honeywell, IBM, Invensys, JTC, Mapletree and Procter & Gamble.

DCS comprises an installation of a centrally located chilled water plant to serve a cluster of buildings for their air-conditioning needs. The plant distributes chilled water to its customers' buildings through a network of pipes. By aggregating the customers' energy loads, the overall installed capacity can be lower than if each building used a separate cooling unit. The aggregation also reduces the overall carbon footprint.

The energy-efficient and space-saving attributes of DCS make it suitable and attractive to address the needs of city centres, large production plants, hospitals and property developments.

The aforementioned contracts are not expected to have a material impact on the net tangible assets or earnings per share of Keppel Corporation Limited for the current financial yea