Argentina may partly replace imported fuel with ethanol - report
Aug 12, 2014 - Argentina could save some USD 230 million (EUR 172.4m) a year from fuel imports by using all its installed capacity for ethanol production, local business daily El Cronista reported Monday, quoting local biofuel association ABH.
Ethanol content in local petrol (gasoline) averaged 7.6% in the first five months of 2014, reaching 8.3% in May, ABH's manager, Claudio Molina, said. The country consumed 260,055 cu m (68.7m gallons) of ethanol and 3.4 million cu m of petrol.
By increasing the ethanol mix to 12%, Argentina could replace 284,000 cu m of imported petrol per year, Molina estimated.
The country has sugarcane plants and grain distilleries with a capacity to produce over 1 million cu m of ethanol annually, enough to cover a 12% mix for all the petrol on the local market. The sector expects the government to increase of the mandatory content in the short term.
According to Molina, the installed capacity will further increase and in a few years the sector will be able to supply a 20% ethanol mix.
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