Brooke Renewables, Hock Lee Group, Beta Renewables, Novozymes ink LOI for commercial-scale Malaysian cellulosic ethanol plant
In Malaysia, Brooke Renewables and Hock Lee Group presented a Letter of Intent to the Sarawak State Government marking their intention to invest in the 2G Bioethanol and Bio chemical plant as the first phase of the $1B, 5-year Sarawak Biomass Hub project.
The tri-party LOI signed is for the use of Beta Renewables’ Biomass Conversion Technology and Novozymes’ Exclusive Enzymes Solutions in the 1st 2G Bioethanol and Biochemical plant in Brooke Renewables’ proposed Sarawak Biomass Hub project. The LOI strengthens the execution of the proposed Biomass Hub project in Sarawak, as both foreign partners are global leaders that have proven commercial-scale facilities. Beta Renewables are owners for the world’s first commercial scale 2G Bioethanol Plant in Italy and Novozymes is the world’s largest enzyme solutions provider.
The MOU between Hock Lee Group and Biochemtex Agro is to establish a dedicated biomass plantation that is sustainable, self-sufficient and in compliance with globally accepted standards. This biomass resource is renewable and provides the bioethanol and biochemical plant secured feedstock to ensure long-term operations of the plant.
The second MOU was signed between Asia BioCoal and Brooke Malaysia. Director of Asia BioCoal Adrian Yong, signed on behalf of the company and Director Stanley Ng represented Brooke Malaysia. Under the MOU, both companies will work together to ensure proper waste management solutions for the biomass cluster and the possibility of creating the largest carbonised pellet plant as part of a holistic approach in maximising the use of renewable resources for power and steam generation.
“This is not only a huge project but also one which has multiple and continuous benefits on the state and national economy. If everything goes as planned, we are looking at potentially RM20 billion additional GNI for the state, RM21 billion in investment and the creation of more than 10,000 new green jobs by 2023,” said Rozario.
He added that the establishment of the region’s first 2G bioethanol plant or bio-refinery for production of liquid biofuels and biochemical will position Sarawak and Malaysia as an ideal destination for high value downstream activities for biomass-based industries.
“Currently, there is no commercial scale 2G Bioethanol facility in South East Asia, and by doing this we are indeed establishing a leadership position for the region.”
The development of the Sarawak Biomass Hub is in line with the government’s vision underlined in the National Biomass Strategy 2020, which emphasises on the capitalisation of biomass by channeling it into higher value downstream uses. This strategy provides the roadmap for utilising some of the 100 million tonnes by 2020 of by-products produced annually by palm oil plantations alone, to create high value new industries.
Sebastian Søderberg, Vice President Biomass Conversion at Novozymes noted: “This plant is scheduled to become the first biomass refinery in Southeast Asia. If it becomes reality, it will be a significant achievement for Malaysia that will increase the value from its vast natural resources and bring jobs and growth to the region. We are proud to be associated and see it as another step forward for biorefining globally.”
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