Novozymes sees potential for sourcing 90% of sales from biofuels - report

Jan 25, 2013 - As much as 90% of Novozymes A/S's (CPH:NZYM B) revenues could come from biofuel producers by 2030, if renewable energy starts being supported in more countries, according to the Danish biotech company's incoming chief executive, Bloomberg reported yesterday.

Currently, biofuels account for about 16% of Novozymes' revenues and sales of enzymes for plants making cellulosic ethanol -- for less than 1%, Peder Holk Nielsen told the business news provider. He said that the enzyme business would be radically transformed if the world was really to source a significant portion of its liquid-fuel demand from biomass-based products. This would in turn revolutionise the Danish firm, Holk Nielsen added.

According to Novozymes' new chief, sales will raise in the next several years with the launch of more cellulosic-ethanol facilities and will pick up speed if more governments require blending of the fuel with gasoline.

A total of 78% of Novozymes' revenues last year was derived from sales of enzymes for household care, corn ethanol as well as food and beverage applications, the company said this week, Bloomberg noted.

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