First RP ethanol plant starts operations in Leyte
abs-cbnNEWS.com | 11/27/2008 7:59 PM
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A Filipino-Indian business venture has opened the country's first ethanol plant in Leyte.
Leyte Agri Corp. (LAC), an affiliate of Philippine Agribusiness Development Corp. (PADC), has partnered with Indian firm Praj for a P300 million ethanol plant that would produce 20,000 to 27,000 liters of 95 percent ethanol daily.
Praj supplied the distillation column and a P33 million cash investment in the project.
PADC president Marriz Agbon said the facility has started operations already after converting its sugar mill into an ethanol distillery.
“This is the result of a visit of (Department of Agriculture) Sec. (Arthur) Yap in India last year when they got investment from Praj, a technology provider,” said Agbon in an interview.
Agbon said it has become more attractive for existing mills to also turn their plant into an ethanol producer. She explained that, "Right now the sugar industry is facing a challenge of excess sugar production, so ethanol production is a good option for sugar millers."
LAC, established in 2001, is a holding company owned by Julio Sy Jr., who originally created LAC to produce rectified spirits through its food-grade alcohol distillery.
LAC has beaten San Carlos Bioenergy in becoming Philippines’ first ethanol plant.
The San Carlos Bioenergy plant in Negros Occidental is expected produce 100,000 liters of ethanol per day beginning before the end of the year.
The San Carlos plant is a full-fledged ethanol distillery which is being put up from the ground up which is why this is taking a longer time.
