KOTA KINABALU: POIC Sabah Sdn Bhd is set to collaborate with Xiamen University Malaysia (XMUM) to establish a state-of-the-art research laboratory in Lahad Datu, focusing on bioethanol, biogas and other high-value biomass products.
The partnership, discussed in a high-level meeting this week, aims to position Sabah as a regional leader in sustainable energy and waste valorisation through innovation in palm oil biomass.
The meeting was led by POIC Chairman and former Sabah Chief Minister Datuk Seri Yong Teck Lee, accompanied by Group Chief Executive Officer Datuk Fredian Gan. The XMUM delegation was headed by Professor Dr Chen Binghui, Dean of the School of Energy and Chemical Engineering, alongside Professor Ir. Dr Yong Wai Fen and Assistant Professor Yong Yean Kong. Representatives from ICOMM Sdn Bhd, including Brian Loo and Laurence Chooi, also attended.
Yong said POIC’s unique role as the state’s palm oil downstream hub placed it in a strong position to drive the biomass industry.
“Our vast resources of oil palm biomass represent not waste, but an untapped economic opportunity. This collaboration with a world-class institution like Xiamen University Malaysia is a decisive step towards transforming this potential into tangible, high-value industries that will create jobs, attract investment, and drive sustainable economic growth for the state,” he said.
The planned laboratory will serve as a central hub for advanced conversion technologies, including the processing of Empty Fruit Bunches (EFB), Palm Kernel Shells (PKS) and Palm Oil Mill Effluent (POME) into bioethanol, biogas and biomethane. It will also focus on developing next-generation biofuels such as Sustainable Aviation Fuel (SAF) and green methanol, as well as bio-based chemicals and phytonutrients.
Professor Chen said the collaboration was aligned with Malaysia’s National Energy Transition Roadmap (NETR) and Sabah’s Biomass Policy.
“We are eager to deploy our research ecosystem and international expertise here, creating impactful technologies that contribute to a greener future and a more robust bio-economy for Sabah,” he said.
The initiative will also emphasise commercialisation and knowledge transfer to ensure scalability and industrial adoption, alongside internship programmes to nurture local talent.
The collaboration is expected to be formalised soon through a Memorandum of Understanding (MoU) between POIC Sabah and Xiamen University Malaysia.
