FGV calls off plan to make plastics from palm oil waste

Going downstream: The proposed acquisition of Zhong Ling Nutri-Oil is in line with FGVHB

KUALA LUMPUR: Felda Global Ventures Holdings Bhd (FGV) will not be going ahead with its proposed venture to  produce biodegradable plastics from palm oil biomass waste.

The plantations company said on Tuesday that Felda Global Ventures Downstream Sdn Bhd, Newlight Technologies LLC and Innogas Technologies Sdn Bhd were unable to reach “acceptable agreement terms”.

FGV said following the latest hitch, all parties would terminate the proposal.

On Dec 15, 2015, FGV announced the MoU would involve Newlight Technologies , a company producing thermoplastic materials made from air and greenhouse gases based in California, and Innogas Technologies Sdn Bhd which was involved in process plant engineering and technology for chemical and renewable energy based in Malaysia.