DSNG Initiates the First Export Palm Oil Shells to Japan

SAMARINDA, JUNE 28, 2022 — PT Dharma Sumber Energi (DSE), a joint venture between PT Dharma Satya Nusantara Tbk (DSNG) and eREX Singapore Pte Ltd, today initiated the first export shipment of 10,500 tons of Palm Kernel Shell to Japan.

The of export shipment was a follow-up to the cooperation agreement between DSE and eREX Singapore Pte Ltd to supply palm oil shell to Japan, which was signed last September 2020 in Jakarta.

The palm oil shells will be used as raw material for biomass power plants in Japan. eREX Singapore Pte Ltd is a subsidiary of eREX Co. Ltd., the largest publicly traded company in the development of biomass power plants in Japan.

The inaugural export activity was marked by the process of loading palm kernel shells onto a barge which took place in Samarinda, Tuesday, June 28, 2022, witnessed by the President Director of DSE, Efendi Sulisetyo, and attended by representatives from eREX Japan, Hiroaki Goto and Kenichi Hanada.

Efendi Sulisetyo said the collaboration between eREX and DSE was a long-term contract for 15 years with a volume of 70,000 tons of palm kernel shells per year. Until the end of 2022, DSE will supply around 21,000 tons of palm kernel shells which will be shipped in stages from East Kalimantan.

The palm oil shells sourced from the RSPO certified palm oil mill (POM) in Muara Wahau, East Kalimantan. In addition, DSE has also completed an audit of the Green Gold Label certification, which is an international certification for sustainable biomass, and has been approved by the Ministry of Economy, Trade and Industry in Japan.

Thus, the raw material of palm kernel shell has met the sustainability aspects required by the Japanese government for biomass power plant.

“This long-term contract with eREX opens up our opportunity to export palm kernel shells to Japan as biomass raw material for the biomass-based power plant owned by eREX,” Efendi Sulisetyo said.

According to Efendi Sulisetyo, the collaboration with eREX is also a strategic milestone for DSNG as a parent company of DSE, in implementing a sustainability policy by utilizing the waste generated from the CPO production process into products with a higher economic value and inline with the principles of Environment, Social and Governance (ESG).

Meanwhile Mr Hiroaki Goto, an eREX Japan representative, said the first shipment is an important milestone for both companies. Currently palm kernel shell to Japan were sourced mainly from Sumatera region.

“In the future, East Kalimantan may play a bigger role. We are looking for future expansion prospect in East Kalimantan,” he said.


ABOUT PT DHARMA SATYA NUSANTARA Tbk

PT Dharma Satya Nusantara Tbk (DSN Group) was established on 29 September 1980 and engages in palm oil and wood products businesses. Currently, DSNG has 112.8 thousand hectares of planted area and 12 palm oil mills which process Fresh Fruit Bunches (FFB) into CPO with a total capacity of 615 tons per hour. As for wood products, DSNG runs two wood processing plants in Central Java that produce panels and engineered floorings.


FOR MORE INFORMATION

Paulina Suryanti Corporate Secretary
Jl. Rawa Gelam V Kav. OR / 3B
Kawasan Industri Pulogadung (Pulogadung Industrial Estate) Jakarta 13930, Indonesia
Email: corporate.communications@dsngroup.co.id