Camco Intl acquires 2-MW biogas project in Malaysia

Aug 13, 2012 - UK-based clean energy firm Camco International Ltd (LON:CAO) today said its Southeast Asia unit had acquired the rights to develop a 2-MW biogas project in Malaysia from French company Rhodia Energy GHG.

Camco has purchased Biopower Climate Care Holding SDN, a wholly-owned unit of Rhodia Energy.

The biogas project is located at a palm oil mill in Palong in the state of Pahang. It will recover biogas containing methane from palm oil mill effluent (POME) waste through anaerobic digestion.

Camco Southeast Asia will keep up with the construction of the facility and is expected to invest USD 4 million (EUR 3.2m) in bringing the project to completion. The sum includes the cost of acquiring the developing rights. Work on the plant is scheduled to finish at the beginning of 2013.

The facility is being constructed under a 13-year build-own-operate-transfer (BOOT) contract with the mill owner. The mill owner will supply feedstock at no charge and will receive part of the facility's revenues, which will come from the sale of power and carbon credits. The electricity produced will be sold to the grid under a power purchase agreement to be signed with a Malaysian utility, as part of the country's feed-in tariff which offers a guaranteed off-take price for the lifetime of renewable energy installations.

(USD 1.0 = EUR 0.812)

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