PUTRAJAYA, Aug 27 (Bernama) -- The Malaysian Palm Oil Board (MPOB)Wednesday signed a memorandum of understanding with a Canadian jointventure company, Eco-Partners (M) Sdn Bhd, to build a pilot plant by thatcan convert empty fruit bunches (EFB), fibre and shell into dry finepowders or Nanomass by 2004.

The initial investment for the project is RM5.5 million which will mainlyexplore potential applications of Nanomass such as fuel, fertilizers andfurther extraction of oil, said director-general of Malaysian Palm OilBoard Datuk Dr Yusof B. Basiron after signing the MoU here.

"This is just the beginning. We are yet to finalise on how much MPOB's orEco-Partners' investment will be," he said when asked on the equity ratioof the two signatories in the plant.

Eco-Partners was represented by its managing director Marcus Chee.

Under the MOU, a demonstration plant would be set up at MPOB ExperimentalPalm Oil Mill in Labu, Negeri Sembilan, which among others, will adopttechnologies to convert palm biomass into valuable products.

"The length of the project is for three years," said Yusof.

The Nanomass will be produced using the Ultra-sonic Disintegration System(UDS) originating from Canada which employs a standing wave technology toreduce palm EFB, fibre and shell to fine dry powder with approximatelyfive percent moisture.

The powder exhibits excellent combustion properties when used incombination with mutli-fuels suspension burners, said Chee.

There is tremendous potential for substantial fuel cost savings when thisproduct is applied to substitute the fossil fuel required for power andheat generation.

Besides this, the successful production of Nanomass using UDS will alsoopen up the avenue for organic fertilizers which can be effectivelybroadcast back to estates compared with EFB mulching, he said.

"We can also extract more oils from Nanomass," said Chee.

-- BERNAMA