KUALA LUMPUR, 28 May 2025 — MTC OREC Sdn. Bhd. (MTCO), a subsidiary of MTC Engineering Consultancy Sdn. Bhd. (MTCEC) has signed a Memorandum of Understanding (MoU) with Japan’s IHI Plant Services Corporation (IPC) to jointly develop Malaysia’s biomethane industry.
The partnership will focus on developing a next-generation multi-digester system by integrating Anaerobic Lagoon technology with IPC’s IC Reactor. This combined approach aims to maximise biogas recovery from Palm Oil Mill Effluent (POME). The recovered biogas will be upgraded into biomethane, a renewable energy source with over 90% lower carbon intensity than natural gas.
This initiative supports Malaysia’s green energy transition, enhances palm oil mill waste management, and significantly reduces methane emissions. It also paves the way to produce liquid biomethane, bio-ammonia, and bio-methanol—clean fuels with potential applications in the maritime and aviation sectors.
“This collaboration with IHI Plant Services marks a pivotal step forward in advancing biomethane development in Malaysia. We are honoured to lead this initiative and deeply appreciate the trust and shared commitment of our partners and stakeholders in driving this vision together.” said Dr. Zahari Mohamad, CEO of MTCO “We are especially grateful to Bioeconomy Corporation for their steadfast support and recognition of our technology and capabilities. Their continued encouragement reinforces our resolve to innovate and contribute meaningfully to Malaysia’s green energy agenda.”
Mr. Ryoji Aoki, President of IPC, added, “The technologies of both parties are inherently compatible, and the integration can achieve the benefits of solving environmental issues and creating high-value-added products. Through these initiatives, we aim to enhance the sustainability of the palm oil industry, one of the key industries in Southeast Asia.”
The partnership underscores a shared commitment to sustainable innovation and marks a significant step toward advancing Malaysia’s low-carbon energy future. It also aligns with broader goals of promoting green technology and renewable energy development across the region.
