SHAH ALAM – Bio Eneco Sdn Bhd’s launch of its biomass processing facility in Gebeng, Kuantan, marks a key milestone in Malaysia’s efforts to strengthen energy security while accelerating the transition towards a lower-carbon economy.
The high-technology facility was officially opened by the Pahang Sultan Al-Sultan Abdullah Ri’ayatuddin Al-Mustafa Billah Shah, highlighting the growing role of private sector investment in advancing the nation’s green growth ambitions under the Ekonomi Madani framework. Bio Eneco is a wholly owned subsidiary of Eldridge Energy Holdings Berhad.
According to its Executive Director and Chief Executive Officer (CEO) Yeo Hock Cheong, bioenergy serves as a practical and scalable solution during the energy transition, allowing countries to balance decarbonisation targets with the need for a reliable energy supply.
“Bioenergy offers an immediately deployable pathway in the global energy transition.
“This facility not only supports energy security but also converts palm oil industry residues into high-value renewable fuel for both domestic and international markets, including Japan,” he said.
The opening ceremony drew senior state leaders and industry stakeholders, reflecting the project’s importance to regional economic development and national energy policy objectives.
In a separate statement, Eldridge Energy stated that the Gebeng facility forms part of its RM68.14 million capital expenditure programme outlined in the company’s prospectus.
This investment supports the development of a network of biomass processing facilities across Kuantan, Pasir Gudang and Lahad Datu.
“The investment demonstrates the group’s disciplined execution of its post-IPO strategy, focusing on enhancing processing capacity, strengthening supply readiness and supporting long-term, sustainable growth,” the company added.
The Gebeng plant is a central pillar of Eldridge Energy’s long-term plan to establish a high-quality, export-oriented biomass platform aligned with accelerating global energy trends. Designed to produce export-grade Palm Kernel Shells (PKS), the facility is certified under the internationally recognised Green Gold Label (GGL) standard, reflecting strict requirements for sustainability, full supply chain traceability and robust carbon data integrity.
The choice of Gebeng Industrial Estate as the operating site was driven by logistical advantages, including its proximity to Kuantan Port, which enables efficient cargo handling, large-scale exports, and reliable long-term supply for international customers.
Beyond exports, the bioenergy project is expected to stimulate economic growth on the East Coast by creating employment opportunities, strengthening local supply chains, and reinforcing Malaysia’s position within the global renewable energy value chain.
The Gebeng facility is the group’s third biomass processing plant, following operations in Telok Gong and Kapar in Selangor, with a fourth facility planned for Pasir Gudang, Johor.