Australian biofuels subsidiary served winding up notice

Australia-based Mission NewEnergy has revealed its subsidiary Mission Biofuels (MB) has been served with a winding up petition.

The petition against the Malaysian biofuels producer has been served by the contractor for its second proposed biodiesel refinery, KNM Process Systems.

It states that KNM is in dispute with MB over a sum of $16.1 million (€12.7 million) for goods delivered and work carried out.

However MB has been advised that the petition is ‘defective, frivolous, vexatious, malicious and an abuse of the court process’ as the case has been referred to arbitration and no award was decided.

The second plant was due to produce up to 250,000 tonnes of biofuel a year.