FS Bioenergia start construction of second corn ethanol plant in Mata Grosso
In Brazil, FS Bioenergia, a joint venture between Summit Agricultural Group and Tapajós Participações (formerly known as Fiagril), has officially begun construction of its second corn ethanol plant in the state of Mato Grosso. As with its first plant in Lucas do Rio Verde, the over BRL 1 billion (≈ EUR 230 million) investment in Sorriso will be made in two stages, with the first stage expected to be supplying ethanol in February 2020.
According to the company, the first phase of the construction will require a contribution of BRL 700 million (≈ EUR 159 million) and will allow the production of up to 265 million litres of ethanol from 630 000 tonnes of corn per annum.
The second stage will double the plant’s capacity to 530 million litres per annum and require an additional investment of BRL 350 million (≈ EUR 79 million). A timeline has not be set for the second stage.
Our idea to anticipate construction with a first phase is to access the market early. Building the entire project at one time would only take a longer time, explained Rafael Abud, CEO, FS Bioenergia.
The construction of a new ethanol plant in Mato Grosso (MT) adds production capacity in a state that already produces more biofuel than it consumes. The goal is to start selling the new volumes to Pará, a state that is still under-served, Anbud said.
When it comes into operation, the plant is expected to benefit from the first year of the government’s RenovaBio programme, which will pay biofuel producers for reducing carbon dioxide (CO2) emissions.