Malaysian crude palm oil producer FGV Holdings Berhad (FGV) has expanded its storage capacity due to increased biodiesel demand, the company announced on 16 October.
The expansion was also aimed at fulfilling the government’s B20 biodiesel mandate for the transport sector, FGV said.
Six new vegetable oil storage tanks have been added to the company’s facilities – four in Pasir Gudang, Johor, with a capacity of 10,400 tonnes and two in Port Klang, Selangor, with a capacity of 5,200 tonnes.
Nine additional tanks with a capacity of 20,000 tonnes were currently under construction in Tanjung Langsat, Johor, and were due to completed by the third quarter of 2021.
“Moving forward, FGV plans to expand its bulking business overseas and we are exploring the best options available,” said FGV Group CEO Dato’ Haris Fadzilah Hassan.
FGV operates its bulking and storage business through its subsidiary, FGV Johor Bulkers Sdn Bhd (FJB). FJB handles 25% of Malaysia’s total palm oil exports.
In 2019, FJB ventured into the handling of basic chemicals in line with its strategy to expand beyond vegetable oil and it also operates two warehouses for the storage of palm kernel expellers (PKE), palm kernel shells (PKS) and grains.