Golden Agri, Fulcrum to build US$60 million bio-diesel plant

Singapore-based firm Golden Agri - Resources Ltd announced Thursday that its wholly owned subsidiary, Blue Sky Golden Fulcrum Ltd has entered into a joint venture agreement (JVA) with US-based Fulcrum Biofuels LLC to initially build and operate a bio-diesel plant in Dumai, Riau.

 

The plant will have a capacity of 400,000 MT per annum and is expected to be fully operational in 2008 with total investment cost including working capital estimated at US$ 60 million, the company said.

 

According the company, production from this bio-diesel plant will be earmarked to meet the growing demand of bio-diesel in the US market.

 

Under the terms of the JVA, Blue Sky and Fulcrum will each have a 50 percent equity interest.

 

Fulcrum is a subsidiary of Fulcrum Power Services LP (FPS), a Houston-based company that provides cost effective energy management solutions for managing power generation assets and load serving obligations in wholesale energy markets across the US. FPS is currently managing 3,000 MW of power generation and load obligations in the US. (denny)