CEO: Gamalux on track to hit 100,000 tonnes mark for SAF by year-end

Gamalux Group, a leading player in the downstream oil palm industry with facilities in both East & West Malaysia, has targeted to hit the 100,000 tonnes per annum mark for sustainable aviation fuel (SAF) feedstock by the end of this year.

Managing director and chief executive officer (CEO) Usman Ahmed said with the expectation of better palm oil supply this year coupled with the long-term contracts signed with most of the suppliers, the company is confident to hit the target by year-end.

“Last year, we clocked in about 80,000 tonnes per annum for SAF requirement. Countries that we supply the most amount of sustainable renewable biofuel feedstock are Finland, Italy, Netherlands and the European Union,” he told Bernama recently.

Gamalux is Malaysia’s top feedstock producer for SAF and renewable diesel (HVO) industries. The companycertified feedstocks comply with all relevant governmental laws and regulations.

“We have got production facilities in Sabah. I am sure that with the Sabah government’s support, and the federal government agencies like the Ministry of Investment, Trade and Industry (MITI) and the Malaysian Investment Development Authority (MIDA), we will enable ourselves to be the leading biofuel producer of feedstocks because there are none other with the production capacities and all the manufacturing units that we have,” he said.

Usman also shared Gamalux’s upcoming initiatives, including the Solvent Extraction Plant which is set for commercial run by the third quarter of 2024 at Pulau Indah, Port Klang, Selangor, and the planned construction of the first oleochemical facility at POIC Lahad Datu in East Malaysia by next year, as well as the expansion of existing oleochemical plant at Port Qasim, Karachi, Pakistan, the following year.

He said the upcoming oleochemicals plant at POIC Lahad Datu will be the first oleochemical plant in Borneo, and Gamalux aims to boost production for export to China, Japan and South Korea by 120,000 tonnes annually.

Usman said the Pulau Indah plant, strategically located near Port Klang (Westports), acts as a pivotal hub in a vibrant network of raw material suppliers from Peninsular Malaysia and Sumatera, enhancing logistical efficiency and fostering collaboration within the region.

“These expansions signify our dedication to meeting the growing demands of the industry while adhering to the highest standards,” he said.

Last year, Gamalux recorded an annual turnover of RM1 billion and is estimated to hit a turnover of RM1.2 billion this year.