Sud-Chemie, Choren link to produce fuel from synthesis gas

27 January 2003 17:48  [Source: ICIS news]

LONDON (CNI)--German specialty chemicals company Sud-Chemie and compatriot Choren Industries have signed a cooperation agreement to produce fuel from regenerative resources such as wood, plants and recycled organic waste.

Sud-Chemie said in a statement received on Monday that it would be providing a special catalyst capable of transferring Choren’s synthesis gas into fuel or hydrogen.

The agreement anticipates a European Union (EU) directive requiring that 5.75% of the Community's fuel comes from regenerated sources by 2010, a Sud-Chemie spokesman told CNI.

He said: “We estimate there is a market potential of Euro15bn ($16.2bn)/year.” However, he said that at this stage, it would be difficult to estimate the market share that Sud-Chemie will gain.

The spokesman said the project, which will be developed at Choren Industries’ plant in Freiberg, Germany, will begin immediately.

Financial details of the deal were not revealed.

By: Glenda Thisdell
+44 20 8652 3214

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