PLS Plantations to explore feasibility of large-scale eucalyptus plantation

KUALA LUMPUR: PLS Plantations Bhd is undergoing a three-year collaboration with Nippon Paper Industries Co Ltd and Nippon Paper Lumber Co Ltd to explore the feasibility of developing a large-scale eucalyptus plantation programme in Malaysia.

In a stock exchange filing, PLS Plantations said the strategic partnership agreement (SPA) will assess the feasibility of the planting programe, which targets 20,000 to 30,000ha of lands operated by the plantations group.

The SPA will also facilitate the introduction of improvements in genetic resources for eucalyptus, seedling production systems, planting methodologies and plantation management frameworks.

Additionally, the parties will evaluate potential downstream commercialisation opportunities including woodchips, pellets, biomass and carbon-related application.

Upon the completion of the research and feasibilit phases, the parties will determine on the formation of a joint venture.

The SPA commenced on Jan 1, 2026, and will conclude on Dec 31, 2028.