By BERNAMA
Diyou Future Biomass Sdn Bhd (DFB) is investing RM25 million to build a pioneer rice husk fuel pellet plant in Malaysia.
The plant to be built on a five acre site at Sanglang is expected to start operations in May, and is targeted to produce 8,000 metric tonnes of the biomass pellets.
The projected revenue from the venture is estimated at RM25 million annually.
A memorandum of understanding (MoU) between Syarikat Perniagaan Peladang Mada (SPPM) Services Sdn Bhd and DFB was signed here today for the venture.
SPPM chief executive officer (CEO) Shakir Jamil Fisal and his DFB counterpart Rosly Yakub signed for their companies with the event being witnessed by Kedah Menteri Besar Mukhriz Mahathir.
Via the MoU, SPPM will be the supplier of the rice husks and also rice stalks to DFB at 110,000 metric tonnes annually.
Rosly said the project will use machinery and technology from China, with key components from Germany.
“The project will help preserve the environment by reducing Malaysia’s carbon footprint to 40% by 2020,” he added.
Phase two of the project involves widening the undertaking to the Area Farmers Association (PPK), while under the third phase, the rice husks or pellets will be used to generate electricity for Kedah.
The Biomass Power Plants in future will have a 10 megawatts capacity.
Meanwhile, SPPM executive chairman Othman Aziz, who is also chairman of the Muda Agricultural Development Authority (Mada) said farmers would have a new revenue source by providing the husks which had all along been treated as a waste.
He also said Mada would assist the farmers from the aspect of providing the machinery to gather the rice husks.
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