Malaysia’s Dialog Group to expand terminal for renewable fuels

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Dialog Group plans to expand storage facilities by additional 150,000 cubic meters for renewable and petroleum products at the Tanjung Langsat terminal at Johor Darul Ta’zim, Malaysia.

Malaysian integrated technical services provider Dialog Group announced plans to expand storage facilities by additional 150,000 cubic meters for renewable and petroleum products at the existing Tanjung Langsat terminal at Johor Darul Ta’zim, Malaysia.

The terminal expansion is due to complete by 2027.

The company said that the first 100,000 cubic meters of the expanded storage has already been awarded to EcoCeres Ltd, which will use the facility to process sustainable aviation fuel (SAF) and Hydrotreated Vegetable Oil (HVO). The remaining 50,000 cubic metres will be awarded to third party customers.

EcoCeres plans to use the expanded capacity at the terminal to process output from its recently-announced investment in setting up a new biofuel production facility in Pasir Gudang, Johor Darul Ta’zim, Malaysia.

The new biorefinery is expected to be operational in the second half of 2025 and is located less than 1km from Dialog’s terminal with direct connection to the terminal’s storage tanks via rundown pipelines.

Dialog said that it has secured a take-or-pay storage agreement with EcoCeres Limited for the dedicated 100,000 cubic meters of storage which serves as a catalyst for the expansion.

EcoCeres’ biorefinery has an annual capacity of up to 350,000 tonnes.

EcoCeres is a pure-play renewable fuel producer, with over a decade of experience in biomass utilization, backed by international investors Bain Capital and Kerogen Capital.

Earlier this week, Eni, Petronas and Euglena reached final investment decision to develop biorefinery to produce SAF and HVO in Malaysia.

The construction of the biorefinery is expected to begin in the fourth quarter of 2024, and upon completion, will have the capability to process about 650,000 tonnes per year of raw materials to produce SAF, HVO, and bio-naphtha.

The biorefinery will be located at the Petronas’ Pengerang Integrated Complex (PIC) in Johor, Malaysia.

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