📋 Tender Overview
Scope : To Build Cereals Ethanol Plant in the state of Rio Grande do Sul of Brazil
Brazilian biofuels company BSBIOS has signed an agreement to build the first large-scale ethanol plant in the state of Rio Grande do Sul, processing cereals, particularly wheat, to ramp up local production of the renewable fuel.
When complete in 2027, the US$102.5 million facility in Passo Fundo will produce ethanol and bran from the processing of cereals such as corn, wheat, triticale, rice and sorghum, among others. It will process 1,500 tonnes of cereals per day to annually produce 58.117 million gallons of ethanol (anhydrous or hydrated) and 155,000 tonnes of distiller’s dried grains with solubles (DDGS) for animal feed.
BSBIOS signed a Protocol of Intentions on June 20 with Rio Grande do Sul and will invest US$58.25 million in the first phase beginning in the second quarter of 2023 with production to start in the second half of 2024. Currently, Rio Grande do Sul imports 99% of its ethanol to meet demand, and the new plant will supply 23% of this need by 2027 when it reaches full capacity.
The BSBIOS investment comes as part of the State Policy of Stimulus to Ethanol Production, which created the State Program for the Development of the Ethanol Production Chain (Pro-Ethanol) to encourage more production within the state, a region not well-suited for growing sugarcane for ethanol.
