TMD Energy Limited Expands into Oil Waste Collection with ESG Initiative

TMD Energy Limited is expanding into oil waste collection as a core ESG initiative, aiming to collect sludge oil and used cooking oil and sell it to third-party partners for processing into biodiesel. This move aligns with Malaysia's national commitment to renewable energy adoption and supports the country's biodiesel market, which presents substantial growth opportunities. The company plans to collect residual oils from maritime operators and the food industry, facilitating their conversion into cleaner biodiesel.

TMD Energy Limited (NYSE: TMDE), a Malaysia and Singapore-based integrated bunkering services provider, has announced a strategic expansion into oil waste collection. The company aims to collect sludge oil and used cooking oil from maritime operators and the food industry, selling these oils to third-party partners for biodiesel production. This initiative aligns with Malaysia's growing biodiesel market and supports the country's national commitment to renewable energy adoption [1].

Following its recent Initial Public Offering (IPO), TMDE plans to leverage its extensive logistics network to collect residual oils from maritime operators and the food industry. The collected oils will be sold to third-party partners for processing into biodiesel, facilitating cleaner fuel production and contributing to Malaysia's renewable energy goals [1].

The biodiesel market in Malaysia, supported by government incentives, presents substantial growth opportunities. According to Chairman and CEO Dato' Sri Kam Choy Ho, TMDE's expansion into this sector aligns with evolving regulatory frameworks and the corporate demand for eco-conscious partnerships. The company's strategic shift toward long-term environmental stewardship aims to transform waste into a valuable resource, positioning TMDE as a key player in Southeast Asia's green energy transition [1].

TMDE's entry into the biodiesel sector is part of its broader Environmental, Social, and Governance (ESG) commitments. The company's established infrastructure ensures efficient collection, and it plans to engage in biodiesel processing and distribution in the near future. This initiative not only mitigates greenhouse gas emissions but also supports Malaysia's national commitment to renewable energy adoption [1].

The United States biodiesel market is also experiencing significant growth, driven by government policies and renewable fuel standards (RFS). The U.S. government is a major driver of biodiesel market growth through policies such as the Renewable Fuel Standard (RFS), which requires refiners to mix renewable fuels into their fuel supply. Federal and state incentives, such as tax credits and grants, further promote biodiesel consumption and production [2].

Increasing demand for low-carbon and sustainable fuels in the U.S. is also fueling biodiesel growth. Corporations and governmental fleets are increasingly using biodiesel to achieve sustainability objectives. Additionally, technological advancements in biodiesel production are increasing efficiency and reducing costs, making biodiesel a competitive alternative to conventional fossil fuels [2].

TMD Energy Limited's strategic expansion into oil waste collection demonstrates its commitment to operational excellence and ecological responsibility. The company's established infrastructure ensures efficient collection, and it plans to engage in biodiesel processing and distribution in the near future, positioning the company as a key player in Southeast Asia's green energy transition [1].

References:
[1] https://www.stocktitan.net/news/TMDE/tmd-energy-limited-announces-strategic-expansion-into-oil-waste-i7183th2v9zs.html
[2] https://www.globenewswire.com/news-release/2025/05/19/3083849/28124/en/United-States-Biodiesel-Market-Research-Report-2025-2033-EPA-and-DOE-Push-Biodiesel-and-SAF-as-Key-Drivers-in-America-s-Clean-Energy-Future.html