KUALA LUMPUR (May 24): Pestech International Bhd has inked a deal to collaborate on green hydrogen production from hydro power plants in Cambodia and Malaysia.

In a bourse filing on Tuesday (May 24), Pestech said it entered into a memorandum of understanding (MoU) with Hydrogène De France SA (HDF Energy).

Under this MoU, Pestech will initiate its commitment towards contributing sustainable development through participation in green renewable initiatives.

The company said hydrogen is one of the leading options for storing renewable energy in power generation and can become an alternative fuel or sustainable transportation by providing clean, reliable, safe, convenient and affordable energy.

In a separate statement, Pestech said HDF Energy is accelerating its development in Asia.

Pestech managing director and chief executive officer Paul Lim Pay Chuan said the collaboration with HDF Energy on green hydrogen production is expected to complement and align with the global transition for sustainable energy and net zero emissions in the power supply industry.

Pestech added that in addition, aNew Energy Pte Ltd, a Singapore-based green energy specialist firm which acts as an advisor to Pestech, played a pivotal role in bringing the parties together and working towards collaboration on the projects.

It said aNew sees the benefits of such collaboration on hydrogen projects starting with Malaysia and Cambodia as a key step to achieving decarbonisation, promoting green employment and investment for Southeast Asia.

At midday break on Tuesday, Pestech fell 1.02% or 0.5 sen to 48.5 sen with 604,100 shares traded.