February 9 (Renewables Now) - The Brazilian Agency of Petroleum, Natural Gas and Biofuels (ANP) announced on Thursday that 903.2 million litres (238.6m gallons) have been contracted in the 59th biodiesel auction.
A total of BRL 2.34 billion (USD 711.2m/EUR 581m) were traded at the tender at an average price of BRL 2.59 per litre. From the 38 producers that offered more than 1 billion litres of biodiesel at the tender, 99.4% had the Social Fuel Seal, which gives producers incentives to sourcing raw materials from small farms, ANP said.
In the first day of the bidding process, around 815.6 million litres were sold, or 80.5% of the total offering, while in the second day, a further 87.6 million litres were contracted.
Brazil's biodiesel auctions are designed to meet the legal requirement for the 10% minimum blend of biodiesel in diesel sold at the pump. The 59th tender will ensure the biofuel supply in the domestic market from March 1 to April 30, 2018, the agency noted.
(BRL 1 = USD 0.30/EUR 0.25)