PT. Sinar Mas Agro Resources and Technology Tbk (SMAR) is gearing up to produce Bio‑CNG (compressed biogas) derived from Palm Oil Mill Effluent (POME) as part of its clean‑energy transition. The project, set to be approved at the Annual General Meeting of Shareholders on June 16th, 2025, will be based in North Labuhan Batu, North Sumatra, on a two-hectare site. The facility will capture methane from POME and convert it into Bio‑CNG, an eco-friendly fuel that can reduce greenhouse gas emissions while creating new economic value from palm oil waste.
SMAR aims to position Bio‑CNG as a strategic commodity in the global renewable energy market, especially Europe, which has ambitious decarbonization targets. The company believes its European customers, committed to achieving net‑zero emissions, will embrace Bio‑CNG as part of their sustainability efforts. If shareholders approve the plan, SMAR will commence construction and set up an international distribution scheme, leveraging its industrial experience and global network to tap into the fast-growing demand for clean energy.
