Fuel crisis a boon to waste recovery firm 5E Resources as capacity doubles, says CEO

Thursday 08 Oct 2026

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KUALA LUMPUR (April 15): 5E Resources Holdings Bhd (KL:5ER) said Malaysia’s renewed push for alternative fuel sources will bode well the group as it foresees rising demand for its treatment and recycling services.

On one hand, the roll-out of higher biodiesel blend would drive higher waste generation to be managed from refineries, said the newly-listed scheduled waste management company.

5E Resources, whose shares rose nearly 10% at its ACE Market debut here on Wednesday, is also significantly expanding the capacity of its scheduled waste processing, which produces products like fuel oil, at a time when the Middle East conflict threatens to constrict global oil and gas supply.

This includes its upcoming facility in Pasir Gudang called PLO 321, said chief executive officer Lim Te Hua.

“At the moment, we can only take a small portion — about 200 to 300 metric tonnes — [from one of our customers] because of quota limitation,” Lim told reporters after the company’s listing ceremony.

With the new facility, the group may be able take on 50% of the waste from that major client, which operates a refinery in Tanjung Langsat, compared with about 20% currently.

PLO 321, expected to commence operations in the second half of the year, could handle nearly 226,000 tonnes of scheduled waste, compared with 5E Resources' current capacity of over 282,000 tonnes. Output also includes metals and chemicals.

For the 10 months ended Aug 31, 2025, 5E Resources posted a net profit of RM20.21 million on revenue of RM67.75 million. The group raised over RM79 million from its IPO, which listed 1.54 billion shares on Bursa Malaysia.

Beyond PLO 321, further expansion is planned via a new facility in Perak, which is targeted for completion in 2030 and could add another 488,000 tonnes of processing capacity.

COO Shankar Narasingam

The group now aims to capture a larger share of Malaysia’s scheduled waste market, which sees further potential upside as recycling rates remain relatively low, said chief operating officer Shankar Narasingam.

“A large portion of industrial waste in Malaysia still goes to incineration or a landfill. Our target is to capture more of this waste and convert it into sustainable products,” he said.

On Wednesday morning, the group made its debut on the ACE Market and saw its share price rise by 2.5 sen as it opened at 28.5 sen versus its initial public offering price of 26 sen.

At the time of writing, 5E Resources was traded at 26.5 sen, still up by nearly 2% after 212 million shares changed hands. At the last price, the group was valued at RM408 million.

Edited ByAdam Aziz

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