Verdezyne Inc, the US-based industrial biotechnology company focused on producing renewable chemicals, has signed an agreement to construct its first commercial-scale renewable chemicals manufacturing facility in Bio-XCell Malaysia’s biotechnology and ecosystem park in Nusajaya, Iskandar, in southern Malaysia. With construction scheduled to commence in 2015, the plant will be capable of producing approximately 30 million pounds per year of diacids, including dodecanedioic acid (DDDA), and will be the world’s first bio-based plant for the production of DDDA.
“This agreement is part of our comprehensive strategy of expansion into Asia, and represents a huge step toward our goal of replacing petroleum-derived chemicals with renewable drop-in replacements,” commented E William Radany, President and CEO of Verdezyne.
“The investments related to building Verdezyne's new factory here will bring the total investment into Bio-XCell to RM250 million, and with a couple more companies in the pipeline, we expect to have secured RM 1.86 billion (approximately $555 million) in investment by year-end. The investments will further augur and strengthen the value proposition of the Bio-XCell ecosystem as a regional hub for industrial bio manufacturing and bioprocessing,” said Rizatuddin Ramli, Chief Executive Officer of Bio-XCell Malaysia.
The manufacturing facility will leverage Verdezyne’s yeast fermentation technology with the abundant supplies of non-food, plant-based feedstocks in Malaysia to produce a variety of commercial diacids, including DDDA. These diacids may in turn be used to produce nylon or other polymers for use in a variety of applications including: engineering resins, automotive parts, athletic apparel, carpeting and toothbrush bristles, at lower cost than traditional, petroleum derived nylons.
“This agreement is part of our comprehensive strategy of expansion into Asia, and represents a huge step toward our goal of replacing petroleum-derived chemicals with renewable drop-in replacements,” commented E William Radany, President and CEO of Verdezyne.
“The investments related to building Verdezyne's new factory here will bring the total investment into Bio-XCell to RM250 million, and with a couple more companies in the pipeline, we expect to have secured RM 1.86 billion (approximately $555 million) in investment by year-end. The investments will further augur and strengthen the value proposition of the Bio-XCell ecosystem as a regional hub for industrial bio manufacturing and bioprocessing,” said Rizatuddin Ramli, Chief Executive Officer of Bio-XCell Malaysia.
The manufacturing facility will leverage Verdezyne’s yeast fermentation technology with the abundant supplies of non-food, plant-based feedstocks in Malaysia to produce a variety of commercial diacids, including DDDA. These diacids may in turn be used to produce nylon or other polymers for use in a variety of applications including: engineering resins, automotive parts, athletic apparel, carpeting and toothbrush bristles, at lower cost than traditional, petroleum derived nylons.