MARKET DEVELOPMENT
Sawipac To Invest RM300 Million To Build Integrated Palm Oil Complex In Riau
Sawipac To Invest RM300 Million To Build Integrated Palm Oil Complex In Riau
10/05/2013 (Bernama) - Sawipac Sdn Bhd, one of the grant recipients of the government's Commercialisation of Research and Development (R&D) Fund under Malaysia Technology Development Corporation (MTDC), will invest RM300 million to build an integrated palm oil complex in Riau, Indonesia.
Sawipac managing director Neo Teck Siong said the complex would be undertaken in two phases whereby the first phase would comprise a 60-tonne per hour factory with palm oil refinery, a fertiliser plant and biogas power plant.
"Under the second phase, we are going to build another factory with a biomass power plant," he told a media conference here today.
Sawipac, established in 1996, provides advanced palm oil milling technology in the fields of engineering, R&D, consultancy and support services.
In March this year, the company sealed a memorandum of understanding with the authority of Kampar in Riau.
Under the agreement, Sawipac will supply its innovative palm oil process using green technology and biomas energy solutions to Kampar province, which produces some 500,000 tonnes of fresh fruit bunches annually.
Neo said the company had secured a 40-hectare land in Kampar which is now under land-clearing process.
Sawipac owns 51 per cent of the land while the remaining stake is held by local entrepreneurs.
Neo said each phase would take about 18 months to be completed and upon completion and operations, the company expected to achieve RM200 million in turnover.
Based in Kluang, Johor, Sawipac has other joint ventures in other countries such as Africa, Nigeria, Cambodia and Papua New Guinea.
Also present at the event today was Bupati Kampar H Jefry Noer, who is here on a two-day visit together with his delegates.
He said this joint venture would improve the social economy and create job opportunities to Kampar's six million population.
Palm oil, which is sold at 1,800 rupiah (RM0.60) a kg in Indonesia, is used to produce margarine, cooking oil and soap.
"The products will cater for the domestic market," he added.
Sawipac managing director Neo Teck Siong said the complex would be undertaken in two phases whereby the first phase would comprise a 60-tonne per hour factory with palm oil refinery, a fertiliser plant and biogas power plant.
"Under the second phase, we are going to build another factory with a biomass power plant," he told a media conference here today.
Sawipac, established in 1996, provides advanced palm oil milling technology in the fields of engineering, R&D, consultancy and support services.
In March this year, the company sealed a memorandum of understanding with the authority of Kampar in Riau.
Under the agreement, Sawipac will supply its innovative palm oil process using green technology and biomas energy solutions to Kampar province, which produces some 500,000 tonnes of fresh fruit bunches annually.
Neo said the company had secured a 40-hectare land in Kampar which is now under land-clearing process.
Sawipac owns 51 per cent of the land while the remaining stake is held by local entrepreneurs.
Neo said each phase would take about 18 months to be completed and upon completion and operations, the company expected to achieve RM200 million in turnover.
Based in Kluang, Johor, Sawipac has other joint ventures in other countries such as Africa, Nigeria, Cambodia and Papua New Guinea.
Also present at the event today was Bupati Kampar H Jefry Noer, who is here on a two-day visit together with his delegates.
He said this joint venture would improve the social economy and create job opportunities to Kampar's six million population.
Palm oil, which is sold at 1,800 rupiah (RM0.60) a kg in Indonesia, is used to produce margarine, cooking oil and soap.
"The products will cater for the domestic market," he added.