(Bloomberg) -- Petrobras plans to invest in a process to convert alcohol into sustainable aviation fuel using corn or sugarcane ethanol.
Brazil’s oil giant is seeking a location for a plant that would target domestic and international markets, said William França, the company’s head for industrial processes and products. Logistics will be crucial, França said, adding Petrobras may need to build pipelines to get the ethanol to the plant.
“We haven’t set a deadline yet, although we’re speeding up the project,” França said.
Petrobras is investing to adapt its refineries to produce biofuels and low carbon products as part of its $16.7 billion investments earmarked for refining in 2024-2028. Brazil recently approved a bill that increases mandates for ethanol and biofuels, while also obliging airlines to reduce emissions using sustainable aviation fuel.
Petrobras’s lost the battle to have its so-called diesel R — made by co-processing fossil fuel with animal or vegetable oil — as part of the mandatory green diesel blend defined in Brazil’s new legal framework “Fuel of the Future.” França said the company is discussing business to business contracts to sell it to big private companies.
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