Project Name: Production of Organic Fertiliser Using EFB, POME and other Mill Biomas Project No: GTFS/W/P033 Category: Producer

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1 739472W Project Name: Production of Organic Fertiliser Using EFB, POME and other Mill Biomas Project No: GTFS/W/P033 Category: Producer Sector: Waste and Water Technology Project Certificate from Green Technology Corporation Malaysia (PTM) Co.Reg: W

2 Corporate information COMPANY NAME: ADDRESS: No.329-1B(back Portion), Jalan Hulubalang 28,Tmn Sentosa,Klang, Selangor COMPANY REGISTRATION: W TELEPHONE/FAX NO: / NATURE OF BUSINESS: Promoting Renewable Energy and Organic Waste Management for Agro Industry AUTHORIZED CAPITAL: RM 500, PAID UP CAPITAL: RM 500, MALAYSIAN STAKEHOLDERS: 100% Prospective INTERNATIONAL STAKEHOLDER: 30% ( Green Ecology Ltd Japan) NAME OF BANKER: PUBLIC ISLAMIC BANK, Bandar PuchongJaya Branch, 9 & 10 JalanKenari1, Bandar Puchong Jaya, Puchong, Selangor Darul Ehsan COMPANY AUDITOR: RW Williams, 9-3A, Mayang Plaza, Jalan SS 26/4, Taman Mayang Jaya, Petaling Jaya, Selangor Darul Ehsan COMPANY SECRETARY: SMT Management, No.35A, Persiaran Sultan Ibrahim, Klang, Selangor Darul Ehsan

3 Introduction Incorporated in 2006 with the aim of promoting Green Technology. VataVM s composting process has successfully obtained the Green Technology Project Certificate from Green Technology Corporation Malaysia (PTM) Vatais one of the 45 SMEs who s selected as beneficiary of BIOMAS SP EUM-BNP nurturing programme Authorized agent for CPG Global and WasteSolutionsNew Zealand for their BioGas Technology for Agriculture and Livestock Industry. VATA VM is also an authorized distributor for EP Asia Products from Australia and,

4 A. Business Model Viability Advantages Value/Wealth Creation Risk of duplication Study To provide waste management to palm oil mills by utilizing the empty fruit bunches, palm oil mill effluent, decanter cake, slurry and boiler ash generated to be processed into compost Compliance with Environmental Quality Act, 1974,Malaysia and its Regulations. There is a substantial reduction in the GHG emission. Reduce Wastes and the cost of their handling and disposal. Profitable Economic Returns where it creates a lucrative source of revenue (if sold in open market) / Reduce the usage of inorganic fertilizers (if used back by plantation) In house technology has been endorsed by GTFS where tests has shown a proven track record. Strategic partnership with AbhilashaInstitute and CABIto move into comprehensive R&D plan for crop specific fertilizers.

5 B. Market Viability Study Market Assessment Targeted Market Pricing Distribution Promotional Activities The total of imported fertilizers for Malaysia has increased in the past years. The production of own fertilizers can reduce the import level which contributes positive impacts to the economy. We are currently proposing buy-back concepts to Plantation/Mill owners. Moreover, we are proposing that 20% of the production is sold in the open market (ex: small holders, cash crop farmers) The current market price for organic fertilizers is between RM180 to RM400/tonne For the product distribution, we are in negotiation with FertiliserDistributors to be our distributer apart from our own marketing network throughorganic Alliance Malaysia We are currently a member of Organic Alliance Malaysia which serves as a business portal for organic products and services. We are also planning an extensive marketing campaign to promote our organic fertilizers.

6 D. Management Viability Study Organization Structure Green Ecology Japan Stake Holder Mr Murugesu Nars Managing Director Vata Asli Organic Agrofarm Strategic Partners Dr Yunus Yasin Consultant Khoo Hock Kuan Consultant Maneka Kopalan Administration Operations EP Asia Waste Solution (CPG Global)

7 D. Management Viability Study Key Persons The key person involved in VataVM Synergy are MrMurugesu Narasimha, Mr Khoo Hock Aun, Dr Yunus and Mr Shiro Chikamatsu IP Management University Malaya and AbhilashaMemorial Institute of Forest and Management (AMIFEM), India will start research and development from the inception of project to produce in situ microbes to produce crop specific fertilizer with trial plots.

8 D. Management Viability Study Moisture: <30% means microbial activity is limited, more POME needs to be sprayed. >65% will make it an anaerobic process and foul smelling, more EFB needs to be added and the windrows must be turned consistently Quality Assurance A SNAPSHOT Aeration: The oxygen level is monitored. Insufficiency of oxygen is avoided by turning for aeration Temperature: Decomposition process occurs rapidly during the themophilictemperature (40 60 C). T > 65 C, the beneficial microbe will die. Therefore, to avoid this, the compost needs to be turned for aeration.

9 PROPOSAL FOR PALM OIL MILL

10 Palm oil Mill Composting Plant Components A roofed and concreted production platform designed for aerobic composting Powerful High Capacity Compost Turner Irrigation system for effluent application. All other necessary electrical and mechanical equipment and installations, such as shredding machines, shovel, tractor, material handling trailers, pumps, piping works, lightings, electrical works and an office cum control room

11 The System Overview Composting process Oil Mill Operation (Optional) Advanced Mechanised Field Application EFB POME BOILER ASH SLUDGE CAKES Fresh Compost (45 60 days) Organic Fertiliser Inorganic Fertilizer/ Additives Compound fertiliser Composting Enhancement Process (OPTIONAL) Pelleting & Bagging Covered Processing Plant Add: No.9-02, Jln Kenari 17F, Bandar Puchong Jaya, Puchong, Selangor. Tel: (Optional) Advanced Mechanised Field Application

12 Proposed Options OPTION 1: To design, build and operate a compost plant that produces organic compost at N:1.5%, P: 0.5%, K : 2.5%, Mg : 0.5% at moisture content below 35% OPTION 2: To design, build and operate a compost plant that produces pelletized organic compost/fertilizer at N: 1.5%, P: 0.5%, K : 2.5%, Mg : 0.5% at moisture content below 20% OPTION 3: To design, build and operate a compost plant that produces pelletized fortified organic fertilizer at N:5%, P: 3%, K : 13%, Mg :3% at moisture content below 15%

13 Challenges... Most compost plants are facing issues such as; Material Back log, compost plant cant take in all EFB produced by Mill End Product not being cleared in time Lechate due to overspraying of POME Plant becomes messy in time due to poor lechate management All of the above is MANAGEMENT issue, not process related issues. Hence by creating a proper SOP and ensuring its compliance by dedicated Managers, running a compost plant becomes as routine as running a mill.

14 What s Required Space is Vital for compost plant, a minimum of 2 hectars is required. Compost plant need to be covered with closed drain system Use of Turner with spraying attached to it, optimise POME and ensure uniform mixing. Minimal lechate problem. Setting up dryer using Boiler Flue Gas if pelletizing is considered. Microbe Innoculant System plus pumping system Packaging and Other physical conditioning equipments.

15 Roles to be played.. Vata VM Synergy (M) Sdn Bhd Provide Know how/technology and Management system To provide investment cost for machinery, Q/A tools etc, by capitalising on our eligibility for GTFS. Mill To provide infrastructure and waste. Buy back the fertilizer to be used in the mill s plantations. JV Agreement period to be minimum 15 years.

16 For more info, please contact: No 329-1B (Back Portion), Jalan Hulubalang 28 Taman Sentosa 41200, Klang Selangor Darul Ehsan Tel: Fax:

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