METabolic EXplorer Updates on its Bio-based PDO Production Plant in Malaysia

CLERMONT-FERRAND, France -- METabolic EXplorer, a green chemistry company that specializes in the development of bioprocesses for the production of chemical compounds used in a wide range of everyday products (textile fibers, paints, solvents, animal feed supplements, adhesives, etc.) is communicating on the submission of the report by TECHNIP, about the analysis of the investment in Malaysia.

Having reviewed the report received from TECHNIP, METabolic EXplorer is providing an update on its project to build a plant in Malaysia. The company commissioned TECHNIP to conduct an in-depth assessment of the cost of resuming and completing the construction of its PDO production plant in Malaysia. As announced in November 2013, the call for tenders to select a new engineering company resulted in a higher-than-expected budget, making it impossible for METabolic EXplorer to pursue the project under satisfactory conditions.

TECHNIP has now completed its assessment mission. The initial allocation of ?38 million estimated by METabolic EXplorer is confirmed, as well as the time required for the construction of the plant within about two years after the resumption of work. Briefly, provided adjustments are made to simplify and rationalise equipment choices and concentrate investment on the core process, the TECHNIP report confirms the PDO project is economically viable, with no impact on its initial quality or expected performance.

Note that the ?8 million budget was based, among other things, on increasing annual production capacity for PDO to 8,900 metric tons (the first tranche of plant construction) and coproducing butyric acid, a compound used in particular as a food flavoring. Based on these positive findings, new contractual terms now need to be established with Bio-XCell in order to resume plant construction on the Bio-XCell site, located in the Iskandar area in Malaysia. Meanwhile, METabolic EXplorer is continuing to hold discussions with potential partners on effective ways to develop the value of its PDO technology.

About METabolic EXplorer

METabolic EXplorer is a biological chemistry company which was incorporated in 1999. Its goal is to help industrial businesses deal with the projected rise in oil prices, so that they can continue to manufacture but in a sustainable way.

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