Sime (4197), TNB (5347) to proceed with biogas study

KUALA LUMPUR: Sime Darby Plantation Sdn Bhd (SDP) and its partner,
Tenaga Nasional Bhd (TNB), have decided to move forward together to
conduct a feasibility study on the potential of a biogas project.

"It
is subject to further details to be agreed upon by the parties," said
Sime Darby Bhd in updating the status of the agreement to Bursa
Malaysia after Mitsui & Co Ltd withdrew as a consortium member in
early this year.

The initiative is part of the world's second
largest palm oil producer's plan to reduce carbon emissions and expand
the proportion of renewables in its energy mix.

To recap, the three parties signed the agreement in April last year.



In the same statement, Sime Darby also updated on the development of
the Oil Palm Biomass Centre, whereby a consortium agreement has been
drafted and is pending review by the respective parties.

SDP had previously signed an agreement with Agensi Inovasi Malaysia and other participants for the development of the centre.

The
conglomerate also updated on the status of the agreement between
Weifang Sime Darby Port Co Ltd and six other parties for the proposed
cooperation and collaboration in the Weifang Port in China.

For the Downstream Logistics B.V., both parties are gathering further information.

Appropriate decision will be made on the establishment of a liquid bulk storage base and terminal at the Weifang Port, it said.

Sime Darby said discussions with DHL Global Forwarding Management (Asia Pacific) Pte Ltd are ongoing.

It
noted that "Changshu Westerlund Warehousing Co Ltd was reviewing its
storage strategy, with discussions among both parties to commence as
soon as possible.

There was no progress yet with Shandong
Luzhong Distribution Co Ltd while monthly meetings were held to update
issues and discuss new business opportunities with the Weifang
provincial government. -- BERNAMA