The AIM-listed company says 2MW Malpom plant in Nibong Tebal has received certificate of initial operation date
By HABHAJAN SINGH
London-Listed Green & Smart Holdings plc’s (GSH) second fully owned biogas power plant in Penang has been successfully optimised and looks set to sell power to national utility company Tenaga Nasional Bhd (TNB) later this month.
In a statement, GSH said the 2MW Malpom plant located in Nibong Tebal, Penang, has received its certificate of initial operation date from the authorities.
It now expects to receive the formal certificate of commercial operation date, which will allow the sale of power to TNB at the full tariff rate.
“While the speed of development on some of the other projects is less than initially expected, we are in advanced funding negotiations that will enable us to make a significant progress,” GSH CEO Saravanan Rasaratnam said in the statement.
GSH, a renewable-energy (RE) company generating power from biogas captured through the treatment of palm oil mill effluent in Malaysia, raised £4 million (RM19.4 million) before costs and expenses with its listing on AIM (formerly known as Alternative Investment Market) in May 2016. It then had a market capitalisation of £24.9 million.
AIM is the London Stock Exchange’s international market for smaller growing companies, which is home to a wide range of businesses including early stage, venture capital-backed, as well as more established companies seeking access to growth capital.
In the statement, GSH said Malpom is the company’s first specialised self-contained lagoon-based system developed for mills with space constraints that prevent them from setting up a conventional biogas power plant.
It said the biogas production process at Malpom has been “successfully optimised” to maximise the efficiency of biogas capture, which has resulted in the plant generating more gas than expected, with current readings reaching about 2.3MW.
The excess power produced from the extra gas will be channelled towards reducing the plant’s opera- ting and maintenance expenditures, it said.
The company said its first fully owned plant, the 2MW Kahang biogas plant in Johor, which is a tank-based system, was generating power and being sold to the national utility company at the full tariff rate.
“This specialised lagoon system has been optimised to maximise efficiency, which will enable a reduction in operating costs,” said Saravanan.
In an AIM listing document, GSH said the principal operating company in the group, Green & Smart Sdn Bhd (G&S), has an established track record in delivering waste water solutions to the palm oil industry.
Over the last 30 years, it said G&S has undertaken and completed numerous projects in Asia, including the construction and delivery of four biogas capture facilities for Felda Palm Industries Sdn Bhd, a subsidiary of Felda Global Ventures Holdings Bhd.
Saravanan said the company aims to be the largest provider of biogas-based RE in Malaysia.