The Brazilian Development Bank (BNDES) has granted about BRL 230 million (USD 46.3m/EUR 42.8m) in loans for the construction of two biomethane plants in Sao Paulo state.
The projects to be backed by BNDES are owned by local companies Essencis Biometano SA and Cocal Energia PPT Participacoes Ltda, BNDES said on Tuesday.
To be built in the municipality of Caieiras at the largest landfill in Latin America and the third largest in the world, the Essencis’ project is expected to be capable of producing 68,000 cubic metres of biomethane per day, enough to avoid 43,068 tonnes of carbon dioxide (CO2) equivalent emissions annually. The loan granted by BNDES amounts to BRL 93.8 million.
Cocal’s biogas plant will be built in Paraguacu Paulista town. It will use sugarcane straw, filter cake, and vinasse as well as inputs from the production of alcohol and sugar as fuel.
Once up and running, it should be able to produce up to 60,000 cubic metres per day of biomethane and offset more than 10 million tonnes of carbon dioxide (CO2) equivalent emissions each year during its expected 19-year lifetime.
Essencis’ biogas will be sold to utilities Ultragaz and Neogas, while Cocal’s will be used by industrial and commercial clients across the country, with part of it also being used to meet the demand for fuel from its fleet of vehicles.
(BRL 1.0 = USD 0.202/EUR 0.186)