FS Bioenergia has ambitious plans to boost corn ethanol sector in Mato Grosso
Type of post: NEWS.
FS
Bioenergia is a joint venture between Tapajós Participações (formerly, Fiagril)
and Summit Agricultural Group that operates the first
large-scale corn ethanol production plant in Brazil. The facility was officially
opened in August 2017 to produce corn-based ethanol and coproducts in the town
of Lucas do Rio Verde (state of Mato Grosso). FS Bioenergia was a pioneer in a
national ethanol sector traditionally dominated by sugarcane. The venture was favourably
propelled by the situation in Mato Grosso. The farmers of the state produce corn
above the domestic needs and the majority of that corn is exported out of
distant Brazilian ports. The high transport costs have convinced the
stakeholders that it is more profitable to process the corn into value added
products.
Figure 1. Main entrance of the FS Bioenergia
plant in Lucas do Rio Verde (taken from the company website)
The first plant has been performing good
results, with sales of ethanol and DDGS positively surprising. FS Bioenergia is
taking advantage of this favourable environment to activate a powerful plan of
rollout.
- Duplication of
the capacity of the original plant in Lucas do Rio Verde (Mato Grosso)
Feedstock
and processing capacity
|
1.3 Mtons
of corn.
|
Products
and production capacity
|
- 530 Ml
of ethanol.
- 15,000
tons of corn oil.
- 400,000
tons of DDGS.
- 132 MWh
of electricity.
|
Cost
|
350 million
R$ (only the expansion).
|
Timeline
|
- Announcement:
1/2018.
- Official
opening: 26/3/2019.
|
- Construction of a
new plant in Sorriso (Mato Grosso)
Press release: “FS
Bioenergia announces the implementation of its second corn-only ethanol plant
in Mato Grosso”.
Feedstock
and processing capacity
|
1.2 Mtons
of corn.
|
Products
and production capacity
|
- 530 Ml
of ethanol.
- 17,000
tons of corn oil.
- 340,000
tons of DDGS.
-
Electricity.
|
Cost
|
1,000 million R$.
|
Employment effect during construction
|
1,500
direct and indirect job positions.
|
Timeline
|
- Announcement:
2/2018.
- Under
construction.
- Expected
start-up: 2/2020.
|
- Construction of a
new plant in Nova Mutum (Mato Grosso)
Feedstock
and processing capacity
|
1.3 Mtons
of corn.
|
Products
and production capacity
|
- 530 Ml
of ethanol.
- 17,000
tons of corn oil.
- 340,000
tons of DDGS.
-
Electricity.
|
Cost
|
1,000 million R$.
|
Employment effect during construction
|
1,500
direct and indirect job positions.
|
Timeline
|
- Start
of the construction works: 5/2019.
|
- Plans for two new
plants in Campo Novo do Parecis and Primavera do Leste (Mato Grosso)
The land has already been purchased in the
industrial areas of two other municipalities of Mato Grosso: Campo Novo do Parecis and Primavera do Leste.
The expectation is that FS Bioenergy will become one of the three largest ethanol producers in Brazil. If all five plants have the same capacity, FS Bioenergia will be able to manufacture up to 2.65 Ml of ethanol per year, just behind Raízen and Atvos (formerly Odebrecht Agroindustrial). It intends to build two plants at the same time at most. Thus, the works of the fourth unit should only begin when the Sorriso plant is producing. The final size of the plants and the timing of investments will depend on the performance of the economy.
