Brazil’s BNDES grants USD 87m to new biomass-fired power project

The Brazilian Development Bank, or BNDES, has granted a BRL-500-million (USD 86.8m/EUR 80.6m) loan to back the construction of a new biomass-fired power plant and the installation of an ethanol-producing plant in Mato Grosso state.

The funds will enable local company Tres Tentos Agroindustrial SA to build a biomass steam and electricity cogeneration plant with a capacity to generate up to 184,000 MWh per year.

In addition, the funds will make it possible to install an ethanol-producing plant. The corn and sorghum-based facility is expected to have an initial production capacity of 935,000 litres of biofuel per day.

BNDES’ director of Productive Development, Innovation and Foreign Trade, Jose Luís Gordon, noted that the bank had approved BRL 3.9 billion in funds for the Brazilian biofuels sector from January to October of this year, the second highest since 2005.

(BRL 1.0 = USD 0.174/EUR 0.161)

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