Singapore-based energy, water, marine group Sembcorp Industries brings online 30M Singapore dollar expansion to its Sembcorp Woodchip Boiler Plant on Jurong Island; expansion triples capacity of plant to 60 tonnes of steam/hour

Allison Oesterle

Allison Oesterle

Oct 28, 2013 – Sembcorp Industries

SINGAPORE , October 28, 2013 (press release) – - The expansion is in line with Sembcorp’s drive to offer its customers competitive energy solutions which also reduce their carbon footprint

Sembcorp Industries (Sembcorp) continues to deliver on its strategy to grow its green energy capacity in Singapore, commencing commercial operations of a S$30 million expansion to its Sembcorp Woodchip Boiler Plant on Jurong Island. The expansion triples the output of the plant – which produces renewable energy from woodchip, a sustainable alternative fuel derived from waste wood – to 60 tonnes per hour of steam from its initial of 20 tonnes per hour capacity.

Funded through internal resources, the expansion to this green energy plant is in line with Sembcorp’s drive to provide its customers with a competitively priced solution to their steam needs, while reducing their carbon footprint.

The Sembcorp Woodchip Boiler Plant was Sembcorp’s first renewable energy plant in Singapore. Since it began operations in 2011, it has offered an economical, environmentally-friendly source of steam to serve the needs of petrochemical manufacturers in the Sakra area of Jurong Island. The newly enlarged woodchip boiler plant will use around 400 tonnes per day of woodchip processed from construction and demolition waste collected by Sembcorp’s solid waste management operations, the largest operator in Singapore. It is also estimated to reduce carbon dioxide emissions by about 70,000 tonnes a year.

This expansion of the Sembcorp Woodchip Boiler Plant comes on the back of Sembcorp’s recent announcement that it will invest over S$250 million to build, own and operate the Sembcorp Energy-from-Waste Plant, a steam production facility capable of producing 140 tonnes per hour of process steam using industrial and commercial waste. With both facilities, come 2016 Sembcorp would have grown its energy-from-waste capabilities in Singapore by ten-fold in five years to 200 tonnes per hour, and met its target of fulfilling one-third of its existing customers’ steam demand using alternative fuel.

Globally, Sembcorp’s renewable energy capabilities span biomass, wind power and energy-from-waste solutions, with facilities in Singapore, the UK and China. In the UK, Sembcorp owns and operates a 35 megawatt wood-fuelled biomass power station, and has announced the development of a second energy-from-waste facility capable of generating 49 megawatts of gross power or 190 tonnes per hour of steam using municipal and commercial waste. In China, it has wind power assets with a combined capacity of 248 megawatts in Inner Mongolia and Hebei. Put together, Sembcorp’s renewable energy assets comprise around 5% of its global portfolio of power and steam assets.

The transaction is not expected to have a material impact on the earnings per share and net asset value per share of Sembcorp Industries for the current financial year.

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Sembcorp Industries is a leading energy, water and marine group operating across six continents worldwide. With facilities with 5,900 megawatts of gross power capacity and over seven million cubic metres of water per day in operation and under development, Sembcorp is a trusted provider of essential energy and water solutions to both industrial and municipal customers. It is also a world leader in marine and offshore engineering as well as an established brand name in integrated urban development.

The Group has total assets of over S$13 billion and employs over 9,000 employees. Listed on the main board of the Singapore Exchange, it is a component stock of the Straits Times Index as well as several MSCI and FTSE indices.

Note to Editors:
Following a company rebrand, please refer to the company as “Sembcorp” (with “S” in upper case and “c” in lower case), or “Sembcorp Industries” in full. Please also note that “Sembcorp” is not an abbreviation of “Sembawang Corporation” but a brand name in itself, and it is therefore incorrect to refer to our company as “Sembawang”, “Sembawang Corporation” or similar.

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