Louis Dreyfus Company, or LDC Indonesia, has announced the startup of its first biodiesel plant in Asia on Wednesday, the company said in a press release.
The plant, located in Lampung province in Sumatra, has the capacity to produce 420,000 mt of PME and 50,000 mt of crude glycerin annually.
The PME production unit is located adjacent to LDC's CPO refinery and will use palm oil products from the CPO refinery.
LDC aims to help Indonesia meet its B-20 biodiesel blending mandate.
"The launch of our biodiesel plant is a timely and supportive response, as the B-20 biodiesel blending mandate comes into force in Indonesia this year," LDC CEO Imran Nasrullah said. Strategically location near a storage terminal and a port, LDC sees the facility as well-positioned to supply PME to international buyers.
The company said that it was committed to sustainable sourcing of palm oil and its Indonesian CPO refineries are Roundtable on Sustainable Palm Oil or RSPO certified.
Additionally, LDC's palm oil operations comply with the requirements of Europe's Renewable Energy Directive and the International Sustainability and Carbon Certification or ISCC EU, it added.
LDC already owns and operates four biodiesel facilities in Argentina, Germany and the US.