02 November 2007 12:07 [Source: ICIS news]
TOKYO (ICIS news)--Major Japanese trading house Sojitz Corp has acquired a 33.33% stake in Brazil's ETH Bioenergia for yen (Y) 9.2bn ($80m) and aims to start bioethanol and sugar production soon, a company spokesman said on Friday.
Sojitz and Odebrecht subsidiary ETH Bioenergia planned to acquire three companies in the Brazilian states of Matto Grosso do Sul, Goias and ?xml:namespace>
The companies would start from growing sugar canes, he added.
By 2021, the companies plan to purchase six more companies and increase bioethanol and crude sugar capacities to 2.6m kilolitres/year and 2.4m tonnes/year respectively.
Bioethanol produced will be sold in
The cost for the entire project was expected to total Y420bn, with Sojitz planning to contribute a third of the total, the spokesman said.
ETH Bioenergia purchased an ethanol producer in Matto Grosso do Sul last summer and currently produces about 62,000 tonnes kilolitres/year of bioethanol and 79,000 tonnes/year of crude sugar, according to the spokesman.
Sojitz and ETH Bioenergia said they would eventually have a 5-10% share in the domestic sugar cane sector, Sojitz said in a statement.
Sojitz was also considering producing plastics from bioethanol with Odebrecht’s subsidiary Braskem, the spokesman said.
($1 = Y115)
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