Phase 2 · Step 1 — Investor Brief

Investor pitch document for the USD 40M raise. Revised 2026-05-16.

1. Investment thesis

Indonesia has just changed the rules on its municipal organic waste. Perpres 109/2025, issued in 2025, replaced the prior incineration-first regime with a non-thermal requirement for wet and organic feedstock. The country now has a regulator-created market for waste-to-biomethane and, as of today, zero operating plants to serve it. Malaysia has three. We are raising USD 40 million to deploy the first portfolio of three plants into that market.

2. The opportunity

The platform consists of three plants, each in a different Indonesian region, each owned by a dedicated local Special Purpose Vehicle. Together they will process roughly 1,065 tonnes of organic feedstock per day — 915 from municipal sources and 150 from animal feedstock, which boosts biogas yield several-fold per tonne. Each plant outputs Compressed Bio-Methane Gas at pipeline specification, sold under firm long-term offtake at USD 15 per MMBTU to PGN, Pertamina, or other qualified gas buyers in the local market.

Because the three awards are spaced six months apart, capital deployment never peaks across all three plants at the same time. The investor draws against equity calls that rotate through the portfolio rather than landing all at once. The first plant, PD Pasarjaya, begins generating cashflow in October 2029 while Bandung and Lamsel are still under construction, and that early cashflow can be applied against later equity calls — reducing the net cash burden through the back half of the deployment window.

3. The returns story

Project IRR is targeted at 15 percent and Equity IRR at 20 percent over a twenty-five-year concession horizon — one year of approvals, two years of construction, and twenty-two years of operations. The revenue base is the CBG offtake at USD 15 per MMBTU, denominated in US dollars, which means the primary cashflow line carries no foreign-exchange exposure. Two further revenue streams sit on top of the CBG anchor: carbon credits from methane-avoidance at all three plants, and a 40-percent share of Kota Bandung's municipal tipping fee at the Bandung site.

The capital structure follows the project-finance norm for infrastructure of this profile. Equity is drawn alongside a ten-year senior commercial loan at 7.0 percent per annum during the three-year pre-commissioning window — one approvals year plus two construction years — at each plant. The loan refinances at commissioning into a 22-year amortizing senior bond at 7.0 percent, matched to the remaining operating concession. Indonesian VAT (PPN) at 11 percent on equipment CAPEX is modeled as a working-capital line with a ~12-month refund lag from the tax authority. Minimum debt service coverage targeted is 1.30 times, with average coverage in the 1.50-to-1.80-times range.

The CAPEX size of each plant — USD 11 million, 15 million, and 14 million — falls inside the PMK 130/2020 tax-holiday bracket. That regulation grants a five-year corporate-tax holiday at 100 percent to qualifying renewable-energy infrastructure. All three plants qualify.

4. Why this works

Three factors carry the platform from concept to executable.

The first is operating evidence. A bio-methane plant in Penang, Malaysia, has been running for years on the same Covered Lagoon Anaerobic Digestion technology selected for all three Indonesian SPVs. Greenviro Solutions, the technical consultant on the Penang plant, is the technical consultant here. The operating data from Penang — 90-percent-plus utilization, biogas yield per tonne, parasitic load between 5 and 10 percent of production — anchors every operating assumption in our financial model.

The second is the commercial counterparty stack. PGN is a listed state-owned gas utility, and Pertamina is the integrated state oil-and-gas major. Both carry Indonesia's sovereign-grade credit. EPCC delivery is handled by Samaiden and Citaglobal at the overall scope, with Orec on the anaerobic-digestion-specific packages. Local government provides material in-kind support at each site: Bandung contributes the Materials Recovery Facility and the tipping-fee share, Lamsel contributes road infrastructure, and PD Pasarjaya as a regional state-owned entity aggregates the feedstock from 153 Jakarta traditional markets.

The third is timing alignment. Each SPV moves through a ten-stage award workflow — Development → MoU → FS → LOI → Award → Mobilization → FEED → Financial Close → Construction → COD — and all three are advanced inside that sequence. PD Pasarjaya has Development, MoU, and FS complete (MoU 454 signed in October 2025 and extended to October 2026 to align with the award month); LOI is the next milestone. Bandung has Development, MoU, and FS complete (Feasibility Study presented in October 2025); LOI is the next milestone. Lamsel is the most advanced — Development, MoU, FS, and LOI all signed with Kab. Lampung Selatan, with Award as the next milestone. Capital deployment lines up with award timing rather than waiting on it.

5. Risk note

Three risk vectors carry most of the project's sensitivity.

The CBG offtake price is the largest single revenue driver. Sensitivity testing across USD 12 to 18 per MMBTU informs the base case, and the combination of sovereign-quality anchor offtake with alternative qualified buyers protects against single-counterparty concentration on price.

Construction execution across the staggered build is the second. Each plant runs a one-year approvals stage followed by a two-year construction window. The design draws directly on the proven Penang reference, the EPCC scope is split between Samaiden, Citaglobal, and Orec rather than concentrated on a single contractor, and PD Pasarjaya's October 2029 commissioning generates operating cashflow before the other two plants complete construction — a natural cross-cover.

Feedstock supply is the third. Each plant has a named, locatable source: PD Pasarjaya draws from 153 traditional markets across Jakarta, Bandung from the Sarimukti site on Perhutani land, and Lamsel from TPA Lubuk Kamal in Kecamatan Natar. The 75 tonnes per day of animal feedstock supplementing the Lamsel and Bandung plants is sourced from regional livestock catchments and is contracted separately.