In addition to the Aenvironmental benefits, the production of biodiesel will reduce the need to import diesel, thus favoring the company’s trade balance
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Biodiesel and ethanol to receive investments amounting to US$ 2.8 billion
The Business Plan 2009-2013 emphasizes the biofuels segment, providing for the investment of US $ 2.8 billion. Of that total, US$ 2.4 billion is to be devoted to the production of biodiesel and ethanol, while US $ 400 million is to be put into infrastructure, mainly ethanol pipelines.
Of the amount earmarked for production, 91% is to be invested in Brazil and 9% abroad. The 2013 target is to attain production levels of 706 thousand m3 of biodiesel and 1.25 million m3 of ethanol.
PETROBRAS BIOCOMBUSTÍVEL
In order to strengthen its activities in the biofuels segment, in July 2008, the company set up a fully owned subsidiary, Petrobras Biocombustível, which brings together all the activities in this field that were previously distributed among different areas of Petrobras
The purpose of the new subsidiary is to develop and manage biodiesel and ethanol production projects.
By this means, the company is making preparations to meet part of the growing world demand for biofuels
As well as giving off less pollution, biodiesel and ethanol help to diversify the energy matrix, allowing a reduction in the consumption of fossil fuels and thus having a positive impact in reducing global warming. Biofuel production also makes it possible to generate rural employment and income, taking advantage of the favorable conditions in Brazil, such as the climate, abundant water and a huge agricultural frontier that can be exploited without having to intrude into forested areas or reserves.
BIODIESEL
In addition to the environmental benefits, the production of biodiesel will reduce the need to import diesel, thus favoring the company’s trade balance. Petrobras Biocombustível has three biodiesel plants, located in the municipalities of Candeias (BA), Quixadá (CE) and Montes Claros (MG), with a combined annual production capacity of 170 thousand m3. Furthermore, Petrobras has two experimental plants in Guamaré (RN), run by Cenpes, where in-house technology is developed for the production of biodiesel.
Petrobras Biocombustível is following the guidelines of the PNPB (National Program for the Production and Use of Biodiesel), and the Candeias and Quixadá plants have already obtained the Social Fuel Seal, introduced by the Ministry for Agrarian Development, while the Montes Claros plant should obtain it shortly. The company is establishing partnerships with entities representing small-scale farmers, for the supply of oilbearing plants. The goal is to work with 80 thousand households in the regions around the company’s plants, on long-term contracts that ensure fair prices, the distribution of seeds and the provision of technical assistance, as well as an initial program of soil correction.
Petrobras Biocombustível’s biodiesel plants are equipped with automatic instrumentation and control systems, and have considerable flexibility in their processing of a wide variety of raw vegetable oils and alternative raw materials, such as animal fats and residual oil and fats from frying and other processes.
ETHANOL
In order to be able to meet Petrobras’ goal of exporting 4.2 million m3 of ethanol in 2013, Petrobras Biocombustível has adopted a production model that contemplates partnerships with foreign companies and other domestic producers of ethanol for the establishment of Bioenergy Complexes (CBio), which will also produce electricity, using the sugarcane bagasse.
Petrobras stepped up its ethanol trading operations in 2008, in order to strengthen its long-term relationships with customers. The ethanol sales volume exceeded 500 thousand m3, with deliveries to Europe, Japan and, principally, the U.S.A.. Petrobras America Inc. handled the reception, storage and commercialization of anhydrous alcohol in the North American market. Meanwhile, Petrobras Singapore Private Limited performed the same services in relation to the industrial alcohol shipped to the Asian market.
As well as the Ilha d’Água maritime terminal, serving the central and southern regions, the export logistics also dictated the ample use of the ports of Santos and Paranaguá to handle the considerable volume that was concentrated into the first half of the year. The leasing of storage facilities in South Korea was also fundamental to the increase in exports, by serving not only the Korean market but those of Japan and Australia too.
Early in 2009, Petrobras will make its first shipment of anhydrous alcohol Costa Rica. This operation is the result of an international auction that attracted the largest trading companies in the sector. Following up this pioneering transaction, another auction is on the horizon, for a whole year’s supply of the product.