Leaf signs fibre supply MoU with B&G
Australia-headed biotech developer Leaf Resources Ltd has announced that it has signed a Memorandum of Understanding (MoU) with Biovision & Greenergy Sdn Bhd (B&G), a Malaysia based company for the supply of empty fruit bunch fibre (EFBF). Securing this biomass supply is a key step in Leaf’s plans to develop a biorefining facility to produce bio-based chemicals in Segamat, Malaysia.
According to a statement, the non-binding Memorandum of Understanding (MoU) will see the companies negotiate to complete definitive legal agreements for Biovision & Greenergy Sdn Bhd (B&G) to supply Leaf with empty fruit bunch fibre (EFBF) that Leaf can use to produce industrial sugars, lignin and refined glycerol through its proprietary Glycell process.
Under the Fibre Supply Agreement, B&G would supply approximately 100 000 tonnes bone dry EFBF per annum for an initial term of 10 years. The deal would see both companies work together during the design and pre-operation phase of the Segamat biorefinery to accommodate the delivery and storage areas and protocols of EFBF.
Signing this MoU with B&G is another important step forward for Leaf as we continue to build momentum in developing our first biorefining facility in Malaysia as part of our joint venture with Claeris, said Ken Richards, Managing Director, Leaf Resources.
ABOUT BIOVISION & GREENERGY
Founded in 2014, B&G is a developer, producer and operator of biomass energy and other products from the processing of residues from the oil palm sector including empty fruit bunches (EFB) and sludge palm oil. The company is developing a fully integrated Biomass Processing Plant in Segamat, Johor.
The plant will treat and process EFB to produce large quantities of high quality dried long fibres for export as well as treated oil and palm fatty acid distillate (PFAD). The facility includes a fibre production plant, oil treatment plant, a 5 MW biomass power plant and wastewater treatment plant (WWTP).