03/11/2012 (Bernama) - The first biogas plant in the world to adopt membrane technology in palm oil milling, will be operational in Bintulu by June next year, following the signing of a contract for its development today.

A global Japanese company, Kubota Corporation, has sealed the deal to design and construct the RM13 million system for the plant owned by BBC Biogas Sdn Bhd, a subsidiary of BBC Holdings Sdn Bhd based in Bintulu.

The signing ceremony between BBC Holdings Executive Chairman, Barry Yek and Kubota Corporation Director, Toshihiko Kurosawa, was witnessed by Sarawak Second Minister of Resource Planning and Environment, Datuk Amar Awang Tengah Ali Hasan.

Speaking before the signing, Awang Tengah who is also the State Industrial Development Minister and Public Utilities Minister, welcomed the initiative as a positive step to widen environmental-friendly alternatives in the state.

He said the system will help safeguard river water quality and reduce natural water body stress.