Petrobras announces pipeline for ethanol production in Brazil
Date added: 8th July, 2010 at 09:20
(view all articles from July, 2010)
Categories: Natural Resources
Following reports last month that 84 companies involved in ethanol production were seeking a licence to develop a pipeline for the distribution of the product, Brazilian firm Petrobras has announced that a similar project has been authorised to go ahead.
Conducted by a partnership between Petrobras, Mitsui and Camargo Correa called PMCC Projetos de Transporte de Alcool, the system will take the fuel from the area in which it is produced - the mid-west, Minas Gerais and Sao Paulo - to consumer centres such as Rio de Janeiro.
The Brazilian Institute of the Environment and Renewable Natural Resources (IBAMA) issued the Preliminary License for the development of the pipeline, which will be 542 km in length and will be able to handle up to 12.9 million cubic metres of ethanol annually.
At a cost of $1.1 billion (£724.78), the project is seen by the companies as only the first phase of the network, which they plan to expand to Senador Canedo Terminal, as well as additional installations to connect Paulinia to the Parana-Tiete Waterway and So Sebastiao maritime terminal.
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