Mitsui, Sime and Tenaga sign MoU

In Malaysia, Japan-based Mitsui & Co. has signed a memorandum of understanding (MoU) with Sime Darby and power company Tenaga Nasional.

The venture will see the three companies carry out a feasibility study into the use of producing power from biogas at palm oil mills.

It is hoped that the MoU, which was signed on 4 April 2011, will increase the use of renewable energy in Malaysia, while slashing greenhouse gas emissions.

The study will last for two years, during which time eight of Sime's 40 Malaysian mills will be tested.

Should the feasibility study prove successful, Mitsui's technology will be used to extract the biogas from Sime's palm oil mills, while Tenaga will connect the electricity supply to the nation grid.

'Sime Darby Plantation could provide the much needed renewable energy resources for biomass and biogas power generation that could be connected to nearby grid,' says the chief of operations at Tenaga Azman Mohamad.