PLAGEN, under the leadership of CEO John Kyung, has embarked on a transformative clean methanol production project in collaboration with Indonesia’s BFI. This venture not only signifies a significant step for PLAGEN but also holds the promise of shaping the green methanol market in Asia.
PLAGEN’s strategic move to develop the green methanol market in Asia comes on the heels of a crucial business agreement signed with BFI, targeting the utilization of biomass waste for clean methanol production. The signing ceremony, held at the KORINDO Group in Jakarta, Indonesia, saw the participation of key figures, including PLAGEN CEO John Kyung, Vice President Won Sung-pil, BFI President Moon Jin-seok, and Director Kim Young-man.
The core objective of this collaborative initiative is to annually produce 20,000 tons of clean methanol by leveraging biomass waste from the rich forests of Indonesia. PLAGEN’s foray into the clean methanol market in Asia is a testament to its commitment to sustainable energy practices, aligning with global efforts to reduce carbon emissions.
BFI, with over 50 years of local operation in Balikpapan, East Kalimantan, Indonesia, is a key partner in this venture. The company’s focus on sustainable economic development and growth, along with contributions to rainforest conservation and carbon neutrality, complements PLAGEN’s vision for environmentally conscious energy production.
The timing of PLAGEN’s move is particularly relevant as the International Maritime Organization (IMO) recently set a target of achieving net-zero carbon emissions by 2050. This has intensified the need for clean methanol to power ships, adding urgency to the production and securement of methanol globally.
Estimates from the shipping industry indicate a projected demand for methanol exceeding 500 million tons by 2050, with clean methanol accounting for a significant portion at 385 million tons. In Korea alone, the demand for clean methanol is expected to reach 230,000 tons by 2027, necessitating stable production and imports.
PLAGEN’s partnership with BFI and its entry into the clean methanol market in Asia marks a significant stride towards a greener, more sustainable energy future. With a focus on utilizing biomass waste for production, the initiative aligns with global environmental goals. As the world aims for a carbon-neutral future, ventures like these play a pivotal role in driving positive change.