SEDC Energy, Gallois New Energy ink MOU to build RM6.3 bil graphite plant in Bintulu
02 Feb 2024
SEDC Energy Sdn Bhd, a subsidiary of Sarawak Economic Development Corporation (SEDC), has signed a Memorandum of Understanding (MOU) with Gallois New Energy Materials (M) Sdn Bhd to build a high-end graphite manufacturing plant in Bintulu, Sarawak.
The plant, which is located in Samalaju Industrial Park (SIP), will be producing spherical natural graphite and synthetic graphite, involving a total investment of US$1.5 billion (RM6.3 billion), said SEDC Energy in a statement in conjunction with the MOU signing ceremony here on Friday.
“This strategic move, as outlined in the MOU, focuses on high-end graphite products, with a planned three-stage development launching in 2025, subject to the 100-megawatt power availability, leveraging Sarawak’s infrastructure advantages, including low-cost and renewable hydropower,” it said.
It said the collaboration would see both parties exploring electric vehicle (EV) industry opportunities, anticipating enhanced capabilities and sustainable growth for the state.
“Simultaneously, Gallois group’s choice of Sarawak for a high-end graphite manufacturing plant in SIP aims to establish the state as a major global graphite source of carbon-neutral, high-purity anode materials outside of China to meet the rising demand for sustainable and cost-effective graphite supply in the expanding EV battery markets.
“China, which accounts for more than 95% of high-end graphite products of global producers, has started to restrict the export of the products since last December.
“As such, there is currently a high demand for high-end graphite manufacturing supply chain outside of China, thus, making Sarawak the major global supply chain for high-end graphite outside China,” it said.
SEDC Energy said the collaboration is poised to generate economic opportunities and job creation, as well as attract EV-related investments, positioning the state as an EV transformation hub.
“This significant initiative is expected to transform Bintulu’s economic landscape, creating more than 1,000 high-skilled job opportunities for the local community,” it added.
The MOU was signed by SEDC Energy chief executive officer Robert Hardin and Gallois New Energy director Chai Ming Chen, as witnessed by Sarawak Premier Tan Sri Abang Johari Tun Openg.
Also present were SEDC chairman Tan Sri Abdul Aziz Husain and Gallois Group of Companies president George Lu.
SEDC Energy, being a frontrunner in sustainable energy initiatives, has engaged in various ventures specialising in new energy and downstream oil and gas marketing and trading, solidifying its position as a key player in Malaysia’s energy landscape.
Among its ventures are the production of crude algae oil, sustainable aviation fuel, biomass, hydrogen supply, downstream and upstream business, and green mobility solutions.
Source: Bernama
