Caribbean Cream moves forward with US$2-million LNG plant
Installation and commissioning of plant expected by the end of 2021Friday, July 23, 2021
BY DURRANT PATE
Caribbean Cream Limited, which trades under the name KREMI, is moving forward with its US$2-million liquefied natural gas (LNG)-powered plant, which it initially announced in January this year.
The LNG plant is being built to power Caribbean Cream ice cream-making operations in Kingston and is being executed in collaboration with Power Factor Technologies, a power engineering services company. Caribbean Cream is a high utiliser of energy in the production of its ice cream and frozen novelties products.
Both Caribbean Cream and Power Factor Technologies have already started the groundwork to install a 630 kilowatt capacity combined heat and power (CHP) plant. This plant will be fuelled by LNG and is expected to reduce the company's carbon footprint.
The cost of the project is estimated to be just under US$ 2 million. Steam produced by the CHP plant will be used for general cleaning of the ice cream factory or to pasteurise products by using mild heat to eliminate pathogens and extend the shelf life of perishables.
Kremi to remain
While Caribbean Cream will remain connected to the national power grid to ensure sufficient power supply in the event of higher energy demand, the company anticipates greater efficiency and increased market reach.
As the management team navigates the supply chain challenges of this pandemic, Caribbean Cream expects to complete the installation and commissioning of the LNG-powered plant before the end of 2021. It is expected that the plant will lead to reduced operating costs and savings on the company's energy bill. Caribbean Cream is already in discussions with LNG suppliers, including New Fortress Energy, about powering the plant. The conversion to gas will start at Kremi's 3 South Road location in Kingston.
A decision is pending regarding its South Road facility, for which it has plans to build a new cold room. Caribbean Cream Limited has doubled its net profit attributable to shareholders.
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