PETALING JAYA: Elridge Energy Holdings Bhd’s memorandum of understanding with Berkana Power Company Ltd for the supply of about 100,000 tonnes per annum of palm kernel shells (PKS) is seen as a constructive development.
It marked the company’s entry into a new customer relationship and strengthening its presence in the Thailand biomass market.
Eldrige is primarily involved in the manufacturing and trading of biomass fuel products.
In a report, Apex Securities said while the arrangement is non-binding and structured over one year, it establishes a commercial framework for purchase order issuance and provides optionality for repeat or longer-tenure offtake, in line with the group’s strategy to raise its long-term sales mix toward circa 60% (from an estimated about 40% currently).
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