The exchange of documents between Jamzidi Khalid, Managing Director, Wholesale Banking, AmBank Group and Kasrul Nazrin bin Kasim, Director, Econas Resource To Energy Sdn Bhd, witnessed by Jamie Ling, Group Chief Executive Officer, AmBank Group and YBhg Dato’ Mohd Shafiee bin Mohd Sanip, Executive Chairman, Econas Resource To Energy Sdn Bhd
Thursday, 20 June 2024 - AmBank Islamic Berhad (AmBank Islamic) is pleased to announce its RM285 million green financing for Econas Resource To Energy Sdn Bhd (ER2E) to develop the Resource Recovery and Disposal Complex (RRDC) and Resource to Energy-Scheduled Waste (R2E-SW) in Pengerang, Johor. This initiative marks a significant step towards sustainable waste management in Malaysia, particularly in the strategic development area of Pengerang Integrated Petroleum Complex (PIPC), the southern hub of Malaysia’s downstream oil and gas industries.
This initiative will enable ER2E to process and dispose of up to 150,000 tonnes per annum of scheduled waste, addressing the increasing demand for waste treatment and contributing to a cleaner environment.
Eqhwan Mokhzanee, Chief Executive Officer, AmBank Islamic said, “We are committed to supporting projects that drive sustainable development and environmental stewardship. Our financing of ER2E's projects demonstrates AmBank Islamic’s commitment to fostering sustainable waste management solutions and contributing to a cleaner and safer environment. We are proud to be at the forefront of this significant environmental initiative.”
Jamzidi Khalid, Managing Director, Wholesale Banking, AmBank Group added, “The financing of the Resource Recovery and Disposal Complex and Resource to Energy-Scheduled Waste in Pengerang, Johor is more than an investment; it's a strategic move towards a greener future for Malaysia. Our support for ER2E's cutting-edge waste management facilities is a testament to our belief in sustainable development and our responsibility towards the future generation.”
Dato’ Mohd Shafiee Bin Mohd Sanip, Executive Chairman, Econas Resource To Energy Sdn Bhd said, “We are delighted to have AmBank Islamic’s commitment in joining us towards a better future for Malaysia. The entire project would be a catalyst for the business community in Pengerang. We would like to express our highest appreciation to all stakeholders involved and for bringing us to where we are today especially all the shareholders, local agencies and authorities, the Department of Environment (DOE) and all the consultants, contractors and suppliers who contributed to the success of this project.”
ER2E has commenced construction of its Phase 1 facility and is currently at 99% completion and the expected business start date is Q3 of 2024. Phase 1 includes Pyrolysis, Microwave, Solidification and Secured Landfill. Phase 2 will see the construction of the R2E-SW incinerator plant, aimed at generating electricity from burning scheduled waste. It is expected to commence by the fourth quarter of 2024, with full operational integration targeted by the third quarter of 2026.
ER2E's project will provide extensive socio-economic benefits for the surrounding population in Pengerang, Johor. In addition to better waste management, the initiative is expected to generate job opportunities and stimulate local business growth, thereby attracting further development and investment to the area.