BP announces expansion biofuels business in Brazil

BP announces expansion of biofuels business in Brazil

12:12 PM, 17th June 2011
BP announces expansion of biofuels business in Brazil
Carl-Henric Svanberg, Chairman, BP


LONDON, UK: BP will acquire majority control of the Brazilian ethanol and sugar producer Companhia Nacional de Açúcar e Álcool (CNAA). When CNAA’s assets are fully developed, this is expected to increase BP’s overall Brazilian production capacity to around 1.4 billion litre of ethanol equivalent per year (nine million barrels). BP will pay approximately $ 680 million to acquire 83 per cent of the shares of CNAA and to refinance 100 per cent of CNAA’s existing long term debt. BP will become the operator of two producing ethanol mills, located in Goiás and Minas Gerais states and a third mill under development in Minas Gerais state. The mills will also supply ethanol to international markets.

“Low carbon energy will play a significant role in meeting world energy demand and biofuels will help meet this demand. This will increase our exposure to growing energy markets,” said Carl-Henric Svanberg, Chairman, BP. According to the recently published BP Energy Outlook 2030, alternative energy is expected to be the fastest growing energy sector over the next 20 years, with global biofuels production projected to more than triple.

The total planned combined crushing capacity of all three mills, when fully developed, is expected to be 15 million tonnes of sugar cane per year. At full capacity, each mill will have a production capacity of about 480 million litres of ethanol equivalent per year.

© WOC News




Your Comments (Up to 2000 characters)
Please respect our community and the integrity of its participants. WOC reserves the right to moderate and approve your comment.

Related News

Honam considering Indonesia petchem plants

Investment may cost up to $4.5 billion - market estimate May build over 1 million tpy naphtha cracker - company source SEOUL, SOUTH KOREA: Hon ...

Read more
Mitsui begins operations at some plants in Japan

TOKYO, JAPAN: Completing assessment of its plants following the Great Eastern Japan earthquake and tsunami on 11 March, 2011, Mitsui Chemicals has res ...

Read more
Huntsman signs licensing agreement with Yantai Wanhua in China

THE WOODLANDS, US: Huntsman Corporation has signed a licence agreement with Chinese chemicals manufacturer Yantai Wanhua Polyurethanes Co Ltd, for the ...

Read more
SABIC-Albemarle JV selects Samsung for its alkyls plant

JUBAIL, SAUDI ARABIA: Saudi Organometallic Chemicals Company (SOCC), a joint venture equally owned by SABIC affiliate, SPECIALTY CHEM (Saudi Specialty ...

Read more
LG Chem to invest $ 455 million in first polysilicon plant

SEOUL, SOUTH KOREA: LG Chem Ltd, South Korea’s biggest chemicals maker, said it plans to spend 491 billion won ($ 455 million) to build its firs ...

Read more
Endicott and Holly partner for biorefinery in Port Arthur, Texas

TEXAS, US: Endicott Biofuels, LLC and Holly Biofuels, a wholly-owned subsidiary of Holly Corporation, will jointly form Sabine Biofuels LLC to partner ...

Read more
www.worldofchemicals.com uses cookies to ensure that we give you the best experience on our website. By using this site, you agree to our Privacy Policy and our Terms of Use. X