ELRIDGE ENERGY HOLDINGS BERHAD (ELRIDGE)

Who Is Elridge Energy?

Elridge Energy Holdings Berhad (ticker: ELRIDGE, code: 0318) is a biomass fuel manufacturing and trading company listed on the ACE Market of Bursa Malaysia. The company debuted on August 22, 2024 at an IPO price of RM0.29 per share and has since recorded extraordinary share price appreciation driven by strong fundamentals and sector tailwinds.

Core Business Operations

Elridge operates primarily through its main subsidiary, Bio Eneco Sdn Bhd, engaged in the manufacturing and trading of biomass fuel products - specifically Palm Kernel Shell (PKS) and wood pellets. PKS is a by-product of the palm oil milling process (the shell fraction left after oil extraction from palm kernels) widely used as a biomass fuel for electricity generation and industrial boilers across Asia.

Key Export Markets

• Japan - Largest buyer of PKS, driven by Feed-in Tariff (FiT) policies requiring biomass in electricity generation
• South Korea - High demand for biomass power generation
• Malaysia, Singapore, Indonesia, Thailand - Regional markets

Company History & Background

Founded in 2011 (operating business), with Elridge Energy Holdings formally incorporated in January 2024 and listed via an IPO that was oversubscribed by 28.78 times. The company raised RM203 million in total proceeds, partly backed by listed electrical distribution firm Mikro MSC Bhd. Market capitalisation at listing was RM580 million.

Production Capacity Expansion

Elridge is in an aggressive expansion phase - increasing annual production capacity from 1.2 million MT to 1.44 million MT through three new processing facilities in Kuantan (Pahang), Pasir Gudang (Johor), and Lahad Datu (Sabah), with RM70.49 million earmarked as capital expenditure. The Gebeng, Pahang plant commenced operations in January 2026 with a capacity of 240,000 MT/year.

Long-Term Supply Agreements

• JFE Shoji Group (Japan): Annual supply of 150,000 tonnes of Green Gold Label (GGL)-certified PKS from April 2025 to March 2040 - a 15-year commitment
• Berkana Power Co Ltd: Annual supply of 100,000 tonnes of PKS

Sector Reclassification

Effective January 13, 2025, Bursa Malaysia reclassified ELRIDGE into the Energy sector / Renewable Energy subsector, increasing visibility among ESG-focused investors.