02 July 2008 23:42 [Source: ICIS news]
PIRACICABA, Brazil (ICIS news)--Brazil’s equipment maker Dedini will build four ethanol mills in Venezuela, each with a capacity of 700,000 litre/day, the company said on Wednesday.
“Dedini will supply the parts and also supervise the construction of the plants at the site,” a company official said during an industry event in Piracicaba, Brazil.
All four units are scheduled to be operational by early 2010, Dedini said.
No financial details were disclosed, but a market participants close to the operation said Petroleos de Venezuela SA (PDVSA) will pay a total of $150m (€95m) for all four mills.
In 2007, Dedini built a small 25,000 litre/day ethanol plant for PDVSA, which the company said was the “embryo” of a larger biofuels project in Venezuela.
Venezuela plans to blend ethanol in gasoline at 10%, but the country wants to be self-sufficient in the production of the biofuel, Dedini said.
PDVSA expects to have 14 sugarcane-based ethanol mills in operation by 2012, according to Dedini.
Dedini announced its latest deal with PDVSA during the 2008 SIMTEC, an annual sugar and ethanol industry technology exhibition.
($1 = €0.63)
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