Chinese company plans USD-152m ethanol plant - report
Author: Perry McKenna. Licence: Creative Commons.
China Beidahuang Industry Group Holdings Ltd (HKG:0039) will build an ethanol plant worth CNY 960 million (USD 152m/EUR 124m) in the northern Chinese region of Inner Mongolia, Reuters reported last week.
The company has inked an agreement with the mayor of Baotou city for the construction of the facility, the news agency said, citing an online statement by the company.
The plant will be able to produce 350,000 tonnes of ethanol per year, consuming 924,000 tonnes of corn, as well as some 350,000 tonnes of straw and sweet sorghum.
The plan comes as China aims for a nationwide use of 10% ethanol, or E10, in gasoline by 2020. Reuters has previously estimated that the new ethanol mandate would imply annual demand for about 15 million tonnes of ethanol, produced from 45 million tonnes of corn.