New venture to create 200 jobs
February 13, 2013 01:35:05 PM

A negotiated joint venture between Tropik Wood Industries Fiji Limited and Korean company GIMCO  to export biomass chips to the global market is expected to generate 200 new jobs.

The agreement was reached following a meeting between Prime Minister Commodore Voreqe Bainimarama, Tropik Wood chief executive officer and chairman Faiz Khan and GIMCO Company Limited’s chairman Sang Sun Lee.

GIMCO is a limited liability company specializing in cogeneration plants based on LNG, biomass systems in the multi-MW range, ESCO schemes, high efficient industrial furnaces, biomass gasification and air pollution control systems.

GIMCO’s sister energy company Kenertec has existing biomass and co-generation operations in Korea, China, Indonesia and Cambodia.

The joint venture agreement will initially involve the export of biomass chips or pellets.

Later on, the joint venture is also expected to expand into rural gasification and Independent Power Production (IPP).

Bainimarama said the joint venture will have full support of government and emphasized that with the technological advantage possessed by GIMCO and the resources by Fiji Pine and its subsidiaries, the JV must also look at developing biomass gasification projects for rural Fiji.

 Tropik Wood chairman Faiz Khan said the JV provides a good opportunity for Tropik to utilize all forestry and agriculture waste.

"Tropik Wood will sell this waste to the JV that in turn will process it for exports thus maximizing on pine wood usage. The JV will sell to the highest bidder in the open market," he said.

 "This is in line with the company’s strategic policy of diversifying our product base as well as our customer base.”

"With Kenertec's technology in cogeneration and our resources, the match is excellent for the future as we look at developing new power schemes in Fiji”, Khan said.

By Reginald Chandar