Apr 18 8:26 AM - Kota Kinabalu: TSH Resources Berhad is expanding itsbusiness in Sabah by focusing on major bio-integration projects in Kunakto produce biomass power, biogas as well as pulp and paper using oil palmwaste as raw material.

The RM150 million projects involve the construction and operation of a14-mega watt (MW) biomass power plant, a 4MW biogas power plant and a30,000 tonnes pulp and paper plant.

The biomass power plant was commissioned last July to supply 10MW ofelectricity to Sabah Electricity Sdn Bhd at 21.12 sen/MWh for 21 years,while the pulp and paper plant is scheduled to commence production duringthe second half of next year.

TSH management foresees its bio-integration projects to contribute about30 per cent of the group's earnings in the future.

TSH, which started business in 1962 has been focussing on agro-resourcesas its core business and it began to venture into oil palm milling andplantations in the mid-1990s as cocoa planters converted their plantationsinto oil palms.

A public-listed company on Jan. 31, 1994, TSH Group, holding a record of15 years of unbroken profit record currently has two companies listed onthe main board of Bursa Malaysia.

In addition, TSH also ventured into forest plantation and hardwoodflooring through its subsidiary, Ekowood International, which is exporting93 per cent of its brand to 30 countries.

Currently, TSH has three palm oil mills in Sabah with a combined capacityof 150-tonne an hour sourcing its fresh fruit bunch (FFB) fromsmallholders and estates along the Tawau-Lahad Datu-Sandakan highway.

The company is also looking forward to opening its 60-tonne an hour millin Sumatera, Indonesia, which has huge potential due to the acute shortageof mills in that country where plantations were said having to transporttheir FFBs over 250km to the nearest mill.

Having roots in the agricultural business, TSH would continue to be"green" going forward, however, it would be the most innovative andintegrated "green" player competing in the premier league of the game.