The firm will establish a production and sales subsidiary in the southern state of Johor and will build a plant capable of turning out 25,000 tons a year. Future plans call for annual production to be raised to 100,000 tons in seven or eight years.
MES is a detergent ingredient made from palm and coconut oils. It reportedly reduces carbon dioxide emissions from production through disposal by 47% compared with products made in the 1990s using components derived from petroleum.
The Malaysian operation is expected to be in the black in three years. The MES it makes will be sold to European and U.S. detergent manufacturers developing environmentally friendly products. Lion is targeting sales of $8.2 billion in the future.