Jump to content
Sign in to follow this  
HuskerFlex

Corn Ethanol Plant in Brazil!

Recommended Posts

http://www.ethanolproducer.com/articles/11397/summit-group-to-develop-50-mmgy-corn-ethanol-plant-in-brazil

 

Summit Group to develop 50 MMgy corn ethanol plant in Brazil

Summit Group, an experienced leader in production agriculture, renewable energy and international agribusiness development, has announced it will construct a corn ethanol production facility in Brazil. The Iowa-based Summit Group will develop a $140 million plant near Lucas do Rio Verde in Mato Grosso, a leading agricultural state in west central Brazil and the country’s largest producer of corn and soybeans. Summit Group CEO Bruce Rastetter said that with final investments secured this summer, groundbreaking for the Mato Grosso corn ethanol plant should begin within six months. When operational by early 2016, the plant will produce 50 million gallons of ethanol annually...

 

...Summit Group’s ethanol plant in Brazil will utilize technology from ICM Inc... 

 

...“The benefits are significant with corn ethanol production because of the valuable co-products that will help feed the area’s growing beef, pork and poultry industries,” said Rastetter. “With the ability to grow two crops a year through improved genetics, the enormous potential for corn production in Mato Grosso will make this region of Brazil a global leader in the production of renewable fuels and corn ethanol.”

********************************************************************************************************************************************************************************************************************************************************************************************

 

This is awesome!  I always knew that this would happen at some point, it just had to.

 

Mato Grosso is a marvelous region well to the interior of Brazil, south of the Amazon, where farms are MASSIVE...  and they have 2 full seasons a year, so the harvests are 2x

 

They also have no railroad, and are not near a river port, so everything has to be trucked out, over roads that can be impassable some times of the year.  Rather than trucking corn out, and ethanol in...  they can simply convert some of that surplus corn into ethanol, and use it locally.

 

For the nation, having a "non-sugar" feedstock will help them be less susceptible to weather related fluctuation in ethanol production/prices.  More feedstocks are better than fewer.

Share this post


Link to post
Share on other sites

it is the geography aspect that you are missing...

 

Mato Grasso is not the Sugar Cane producing region of Brazil.  It is far to the interior where it is much drier, and the soils are different.  They do produce a lot of Corn, Soybeans and Cotton in this state.  With their transportation logistics, it makes sense for them to convert some of their surplus into ethanol, reducing the massive bottle neck of logistics that drives the price for corn even lower with the booming corn production down there.  If they COULD grow sugar, they would, but the climate is not right.  These farms are MASSIVE... we're talking several hundred thousand acres a farm.  You see 10+ combines with 40' headers running in a staggered row, in fields that may be 10 miles long!

 

They have animal feeders there that are demanding distillers grains, and this fits that as well.

 

The next time they have a drought that effects the more coastal region's sugar ethanol production, or if there is a spike in world sugar prices, which leads to less sugar to ethanol production...  they are not totally over a barrel for ethanol produciton.

 

Multiple feedstocks are better.

 

With the fact that they have a 23 month growing season, they are looking to establish sweet sorghum in the region, but this would be the first step.

 

Geography is the main factor here.

 

I'd look for more of this in Brazil and the rest of South America.

Edited by HuskerFlex

Share this post


Link to post
Share on other sites

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.

Loading...
Sign in to follow this  

×
×
  • Create New...