With the present escalating mineral oil prices and the adoption of the Kyoto Protocol there is greater sense of urgency and need to find renewable energy source that can effect carbon dioxide emission reduction. Such a fuel would be Biodiesel which is expected to reach 10.5 million tones in two years time. Research studies reported that Biodiesel from Palm Oil is predicted to capture at least 10 percent of that market share or approximately 1 million tons. Crude Palm Oil is one of the most cost competitive vegetable oil sources and hence as raw feed for biodiesel strength its cause.

From our findings, it is beneficial and logical to locate the Biodiesel plant near terminal station of CPO & RBD Palm Oil/Olein thus making it easier to export the biodiesel. We estimate the cost of a 500 TPD Complete Grassroot Biodiesel plant includes with Glycerine purification plant and its storage tanks is about US$ 51 million. The plant can process CPO, RBD palm oil and even Used Frying Oil as feedstock to the Biodiesel plant. Based on a conservative selling price of US$ 600 per ton FOB, Indonesian Port for Bio-diesel and approx US$ 390 per Mton CPO in the local market and the sales of byproduct (glycerin) with the price for about US$ 350 per Mton FOB Indonesian Ports, the payback period for the plant is about 3 years include with 1 year of the construction / installation for the Biodiesel plant.

Our vision and mission are, in 5 up to 10 years business running the company will become a world class biodiesel producer in the region and offering contribution as of the maximum biodiesel production capacity which could be achieved for clean of air environment in the world

My local partner and myself as the project owner have been working to find and have chosen a suitable technology to be used, find sources of feed stock of palm oil and chemical needed, got and chose acceptable location for the plant, doing research for market and distribution and also we have made relationship with local government (Banten Province – West Java) to support this project for permits, taxes etc. For this project we will provide for about 10 Ha land in Cilegon Industrial Area in Banten Province as a project guarantee or collateral with the total value of about US$ 5 to 7 Million (price is about US$ 50 to 70 per meter square). We can provide and sent to you all of official / legal documents of above when we have made investment or loan agreements.

To present to investor that we are serious to work on this project we are ready for the investor to make valuation, survey or doing some inspection to the land for the plant to be placed, due diligent etc before they make approval to joint and finance this project.

The proposal still under development as well as the management team to execute the project but we have plan for this and will form it with investor or lender interested upon we make an agreement and decided to make a suitable format to implement the project and operating the business.

In this proposal, due to we do not have financial to build this project we would like to get financial loan from international bank/lender or offer this opportunity to the investor (individual, corporation, financing company or venture capital company) who wants to invest for all financial required and the investor who wants to get benefit from this by working together with us. Here we will operate the project and the business up to selling the produce biodiesel to the market. 

We will provide official and legal documents of the land, permits of investment if bank/lender or investor has made an agreement with us.

Although the proposal is not complete yet, but we think that this proposal can be used by investor as a basic to decide by reviewing and at the end find the opportunities in this project.

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