Both the companies will work together to use local biomass raw materials including palm plantation waste products such as empty fruit bunches, wood, and bark waste to produce cellulosic fuels for the Asian market.
Acritaz is likely to commit $60m to the first facility, which is to be located in the Malaysian state of Johor, by the end of 2013. Once the pilot facility is complete, the companies will then work on constructing multiple facilities across the country.
The agreement will also see Acritaz buying proprietary equipment and consumables from Cool Planet in the construction and operation of the facilities and both the companies will provide tailor-made plant design including feedstock selection, biochar production, and specification of the final fuel in the country.
Cool Planet CEO Howard Janzen said that the company will collaborate with Acritaz to deploy its biofuels and biochar technology in the facilities being built in Malaysia.
"This is another validation of our technology, as we begin to build partnerships that will commercially deploy our bio refineries outside the US," added Janzen.
