Biogas projects booming in Malaysia

Biogas projects booming in Malaysia

Biogas projects are booming in Malaysia, according to one renewable energy
developer.

Green & Smart Holdings plc (AIM: GSH), who generate power from biogas
captured through the treatment of palm oil mill effluent, has seen a major
upswing in operations.

Megagreen Energy ("MGE"), an associated company of Green & Smart, has
already completed five biogas plants under engineering, procurement,
construction and commissioning ("EPCC") contracts with 6MW of total
capacity.

Concord Green Energy ("CGE"), another associated company has an existing
EPCC pipeline of at least another ten biogas plants with contracts for
12.5MW of capacity.

Completion of further EPCC contracts is expected in H2 2017.

Green & Smart has recently completed the commissioning and interconnection
works for its second fully-owned biogas power plant, the 2.0MW Malpom plant
located in Nibong Tebal, Penang.

The company is awaiting receipt of a certificate of initial operation date.

Green & Smart has also established a pipeline of projects that it will
build, own and operate and work is scheduled to commence shortly on the
Dupont (1.0MW) and Veetar (2.0MW) plants.

The firm has also commenced work under its EPCC contract with CGE on four
greenfield biogas-based power generation plants to be constructed within the
sites of four specified palm oil mills owned by Felda Palm Industries Sdn
Bhd.

The plants are expected to be completed by year-end 2017.

Mr. Saravanan Rasaratnam, chief executive officer of Green & Smart, said:
"We are pleased with our progress in developing our pipeline of wholly-owned
and associated projects. We anticipate the completion of more EPCC contracts
by year-end and our existing fully-owned biogas power plants will continue
to provide power to the grid while we advance the construction of the new
ones.

"Green & Smart remains one of the few fully-integrated providers and
operators of biogas plants in Malaysia at a time when government regulation
requires all palm oil mill operators to install biogas plants to capture
greenhouse gases in the form of methane that would otherwise be released
into the atmosphere.

"As a result, the Board continues to look to the future with confidence."

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John Diecker
APT Consulting Group Co., Ltd.

www.aptthailand.com