In Brazil, GraalBio Investimentos plans to invest $724.5 million in five cellulosic ethanol plants during the next few years. The first 21.6 million gallon facility in Alagoas that will use sugarcane bagasse as feedstock is expected to come online in December 2013.

At the Alagoas plant, the suppliers of the enzymes and industrial yeasts are Novozymes and DSM, respectively.

Novozymes, a world leader in enzymes, will provide the GraalBio plant in Alagoas with its most advanced generation of enzymes. DSM will supply genetically modified yeasts that will ferment the second-generation ethanol.

Novozymes will supply the necessary enzyme technology while Beta Renewables and Chemtex, both part of Italian chemical group Mossi & Ghisolfi (M&G), will provide other process technologies and engineering.

The first plant will produce cellulosic ethanol from sugarcane bagasse and straw, and Novozymes will supply the necessary enzyme technology while Beta Renewables and Chemtex, both part of Italian chemical group Mossi & Ghisolfi (M&G), will provide other process technologies and engineering.
Reaction from the partners

“As so many other players in this emerging industry, we were eyeing the developments in Brazil very closely,” according to Steve Hartig, Vice President Bio-energy for DSM. “And today we are very pleased as the official yeast supplier to the Proesa technology and the Alagoas project, to be a respected partner for GraalBio in the introduction of cellulosic ethanol to the Southern Hemisphere.”

“This facility will mark a milestone in Brazil and in Latin America,” says Bernardo Gradin, CEO of GraalBio. “We are talking about a world class project with innovative technology solutions that will help build a better and safer planet.”

“Today’s announcement from GraalBio is fantastic news for the ethanol industry and for Brazil and it clearly signals the continuation of the green path Brazil has taken on biofuels,” says Peder Holk Nielsen, Executive Vice President of Novozymes. “We are thrilled to supply the enzymes to the first advanced biofuels facility in Brazil and proud to help GraalBio succeed.”

“The advanced biofuels industry is taking off in Brazil and we remain confident that cellulosic ethanol will play a significant role in Brazil’s energy future,” says Peder Holk Nielsen. “To support this, we are looking to establish new enzyme production facilities in Brazil, dedicated to making enzymes for the biofuels industry. The location of new plants will, among other things, depend on where the industry is expected to scale up, where Novozymes’ partners are located, and where the best framework conditions exist.”
The Brazilian next-gen market: opportunity abounding

Global production capacity of advanced biofuels is expected to reach 57 million liters (15 million gallons) in 2012 and for 2014, 945 million liters (250 million gallons) are under planned construction. A recent study from Bloomberg new Energy Finance estimates that the advanced biofuels industry has the potential to create jobs, economic growth, and energy security.

Looking at Brazil alone, the study shows that using less than 20% of the available agricultural residues (excluding energy crops) Brazil could produce 170 billion liters (45 billion gallons) of ethanol every year by 2030, replacing 83% of its annual gasoline consumption. Brazilian companies would be the major beneficiaries from a $94 billion domestic engineering, construction and feedstock market and the creation of 1.25 million jobs.

source: biofuelsdigest

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