BNDES approves R$729 million for cereal ethanol production in RS – SBA1

Company based in Rio Grande do Sul will implement a factory with an estimated annual production of 209 million liters of ethanol. Part of the financing occurs within the scope of the BNDES Mais Inovação Program.

The National Bank for Economic and Social Development (BNDES) approved financing worth R$ 729.7 million for Be8 (the largest Brazilian company producing biodiesel in Brazil), for the construction of an ethanol and bran factory from the processing of cereals in Passo Fundo (RS). Of the total, R$500 million comes from the BNDES Mais Inovação Program.

The plant will be flexible for the production of anhydrous ethanol, which can be added to gasoline, or hydrated, and will have a capacity of 209 million liters/year, which is equivalent to 20% of the demand in Rio Grande do Sul, which today has to import the product from other states. The new factory will process 525 thousand tons per year of cereals to produce ethanol and bran (Dry Distillery Grains with Solubles).

The adequacy of Be8’s investment to the Program was due to the reason that the project foresees the construction of a pioneering plant for the production of biofuel from raw materials that had not yet been used for this purpose in Brazil, such as wheat and triticale.

The president of BNDES, Aloizio Mercadante, points out that Brazil has a central role in the execution of projects for the energy transition, especially in the biofuels sector. “We live in a historic window of opportunities and BNDES has been contributing significantly to innovation in the industry, so that it becomes greener and more sustainable”, he states.

The President of Be8, Carlos Battistella, says that this investment is a bold initiative, with a lot of innovation. “It will also represent an increase in the supply of DDGS bran for animal protein production chains, in addition to promoting investment in the development of genetic technology for the production of specific wheat for ethanol feedstock.” Battistella highlighted that this is also a viable income opportunity for the farmer with the cultivation of winter cereals.

The project will generate around 220 direct jobs in the operation phase, after the work is completed. 700 jobs will also be created during the implementation of the project, giving preference to hiring local labor, promoting training and specialized training for maintenance and operation of the unit.

The unit will feature self-production of electricity with cogeneration from biomass and the surplus energy supply will be made available on the municipality’s distribution network. There will be no release of liquid effluents, which will be used to produce steam in the production process.

Be8 established a partnership with the Brazilian Agricultural Research Corporation (Embrapa-Trigo) to develop triticale cultivars for biofuels, as it has great potential to supply ethanol production plants, as it has a high starch content, high amylolytic activity, mainly α-amylase, essential in the saccharification of starch.

Another partnership involves Biotrigo Genética, a leading wheat genetic improvement company in Latin America. The company developed two exclusive wheat cultivars for ethanol production. The varieties, as they have high levels of starch, are ideal for the production of biofuel.

Bran (Dried Distillery Grains with Solubles), obtained immediately after the fermentation process of ethanol production, is an important co-product of the grain fermentation process, with great potential for use in the production of animal feed for the food production chain. .

Information: National Bank for Economic and Social Development