ZECON BERHAD (“ZECON” OR “THE COMPANY”)

- SIGNING OF POWER PURCHASE AGREEMENT WITH SYARIKAT SESCO BERHAD

INTRODUCTION

The Board of Directors of ZECON, a Sarawak based bumiputra company wishes to announce that its subsidiary, Zecon Renewables (Sarawak) Sdn Bhd (“ZRSSB”) had on 22 October 2025, executed the Power Purchase Agreement (“PPA”) with Syarikat SESCO Berhad (“SESCO”).

(Hereinafter, ZRSSB and SESCO shall collectively be referred to as “the Parties” and individually known as “the Party”)

INFORMATION ON THE PPA PARTIES

ZRSSB, Registration No. 202501015510 (1616925-T), a company incorporated under the laws of Malaysia and having its registered office at 8th Floor, Menara Zecon, No. 92,  Lot 393  Section 5 KTLD, Jalan Satok, 93400 Kuching, Sarawak, Malaysia.

SESCO (Registration No. 200401034422 (672931-A)), a company incorporated under the laws of Malaysia and having its registered office at 9th Floor, Menara Sarawak Energy, No. 1,  The Isthmus, Kuching, Sarawak, Malaysia.

SALIENT TERMS OF THE PPA

ZRSSB will design, construct, own, operate and maintain a solar photovoltaic energy generating   facility with a capacity of 100 MWac to be located in Kota Petra Green Technology Park, Kuching, Sarawak, to generate and deliver solar photovoltaic energy to SESCO (“Facility”).

The PPA governs the obligations of ZRSSB to sell and deliver the net electrical output generated by the Facility for a period of 30 years, from the proposed commercial operation date in December 2027 and the obligations of SESCO to purchase the net electrical output generated in accordance with the terms and conditions set out in the PPA.

FINANCIAL EFFECTS OF THE PPA

The PPA is not expected to have any material impact on the earnings and net assets of ZECON Group of companies (“ZECON Group”) for the financial year ending 31 December 2025. Nonetheless, it is expected to contribute positively to the future earnings of ZECON Group from the commencement of commercial operations of the Facility.

RISK FACTORS

The Company does not foresee any extraordinary risk other than the normal operational risks associated with the Facility. Nevertheless, the Company will take the necessary steps to mitigate the risks as and when they occur.

DIRECTORS AND SUBSTANTIAL SHAREHOLDERS’ INTEREST

None of the Directors or substantial shareholders of ZECON or persons connected with them has any interests, direct or indirect, in the PPA.

STATEMENT BY DIRECTORS

The Board of Directors of ZECON is of the opinion that the execution of the PPA is in the best interest of ZECON Group.

APPROVAL REQUIRED

The PPA does not require the approval of the shareholders of the Company or any relevant regulatory authorities.

This announcement is dated 22 October 2025.