BP Biofuels to invest $350m to expand ethanol production in Brazil
Bio-fuels arms of oil major British Petroleum will invest $350m to expand the ethanol processing capacity at its sugarcane processing venture, Tropical, in Brazil.
The scope of expansion includes the building of a new mill to double the facility's processing capacity to five million tons of sugarcane.
Expansion of the facility will get underway in 2013 and when complete will produce 450 million liters of ethanol equivalent per annum.
Commenting on the proposed expansion BP Biofuels Brazil CEO Mario Lindenhayn remarked that the plans testify the company's commitment to the Brazilian sugarcane industry.
"Since we started operating in May 2011, we have been improving our operational efficiency and this announcement marks a further milestone in delivering our biofuels strategy," added Lindenhayn.
The proposed expansion is expected to be completed by the end of 2014 or early in 2015.