Tex Cycle Technology is currently active in Renewable Energy ventures such as Solar, Biomass-to-Energy and Biogas-to-Energy.
The latest venture is an agreement made between Green Lagoon Technology Sdn. Bhd. and Lestari G2E Sdn. Bhd. (wholly-owned subsidiary of Tex Cycle Technology (M) Berhad) to construct and operate a 3.6 MW/hr Biogas-to-Energy plant in Johor on a joint-venture basis.
Through this Joint Venture agreement, Lestari G2E Sdn. Bhd. will acquire a 30% stake in GLT BP Power Sdn. Bhd. from Green Lagoon Technology Sdn. Bhd. as a joint-venture vehicle, with the aim of resolving some of the issues facing the palm oil mill owners, mainly on the untapped potential of the biomethane produced through the palm oil milling process.
This biomethane can be utilised as a renewable energy resource, which is cheaper and more environmentally friendly than fossil fuels. The business model is to provide customized waste to energy solution for the palm oil industry and entails the installation and operation of waste to energy Biogas plants at strategic locations, where the electricity produced is sold to Tenaga Nasional Berhad through Renewable Energy Power Purchase Agreement (REPPA) authorized by Sustainable Energy Development Authority (SEDA) for 21 years.
The rationale of working in partnership with Green Lagoon Technology Sdn. Bhd. is based on their knowledge and carefully crafted methods in trapping, treatment and utilization of biogas, especially from palm oil mill effluent (POME). Since 2010, Green Lagoon Technology Sdn Bhd has completed 47 projects valued at RM187 million, and currently have 23 ongoing projects that are valued at RM123.6 million. Their power-generating assets consist of six Biogas-to-Energy power plants in December 2021, and will be expanding to ten by the end of 2022, totalling 15.9MW/hr installed capacity.
Tex Cycle views Green Lagoon Technology Sdn. Bhd. as a crucial partner in this new venture due to their expertise in constructing and operating Biogas-to-Energy power plants for palm oil industry which is evident in their successful running of these plants throughout Malaysia. On the other hand, Tex Cycle will bring their knowledge in various renewable energy technology sources and network to potentially expand and grow in this new venture.
