Mexican biofuel producer builds US$ 100 million ethanol plant in Veracruz
Ciprof Energies, a Mexican biofuel producer, announced that it will invest US$ 100 million to build the first anhydrous ethanol plant in the country, which will be located in the municipality of Puente Nacional, Veracruz, informed the general director of the company, Carlos Alberto Torres.
The plant is expected to start operations in May 2019, with a production capacity of 60 million liters per year, a figure that will increase gradually every year to reach 120 million.
The company already has a contract to sell between 18 and 20 million liters a year to Pemex, who intends to use ethanol to replace an additive in order to produce less polluting fuels.
The rest of the production will be sold to Raizen Energia S.A., a Brazil-based joint venture between Royal Dutch Shell and Brazilian Cosan S.A.
The official added that the plant will benefit 2,500 cane producers that will provide them with around 1.5 million tons per year, while 250 new jobs will be opened for the operation of the facilities.
According to Torres, there are other companies in the country that produce ethanol, but it is class B, not suitable to replace gasoline. Instead, this will be the first anhydrous ethanol plant -without water- of five that will be built in the country over the next few years.
These plants emerged from eight tenders launched by Pemex, of which three were deserted. Of the five projects that were completed, three will be located in the state of Veracruz.
These bids are the product of an ambitious energy reform, enacted in 2014, which allows the participation of national and foreign private companies to promote and diversify renewable energy sources.