Clenergen Corporation has entered into a memorandum of understanding (MoU) with Yuken India for the installation of a 4MW/h gasification biomass power plant operating on gas engines at Yuken's manufacturing facility in Bangalore, India.

Clenergen India, a wholly owned subsidiary of Clenergen Corporation, will enter into a minimum 15-year power purchase agreement (PPA) to supply Yuken up to 2.5MW/h of power, with the balance of electricity generated being sold to the national grid system.

The biomass power plant will be installed and operational within 10 months upon signing of the PPA.

Clenergen India will lease up to 800 acres of non arable land near the manufacturing site in order to grow a high yielding species of bamboo as a source of biomass for the gasification power plant.

Yuken India was set up in 1976 under a technical and financial collaboration with Yuken Kogyo of Japan for manufacturer of oil hydraulic equipment.