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Brazil's Sao Martinho to launch corn-based ethanol production
SAO PAULO, June 19 (Reuters) - Brazil's Sao Martinho SA , one of the country's largest sugar and ethanol producers, plans to build a facility to produce ethanol from corn in the state of Goiás, the company said in a securities filing.
Sao Martinho is the latest in a growing number of companies starting to produce ethanol from corn in Brazil, a country where the fuel has always been made from sugarcane.
Corn production in Brazil rose sharply in the last five years as farmers consolidated a rotation system planting soybeans in the summer and corn in the winter.
Sao Martinho said in the filing on Tuesday it plans to build the plant in the municipality of Quirinópolis, an important grain producing region in Goiás, in Brazil's center-west grain belt.
The facility will be built alongside Sao Martinho's Boa Vista mill. The company said it will have capacity to produce 200 million liters of hydrous ethanol and 140,000 tonnes of DDGS (Distiller's Dried Grains with Solubles) per year.
Sao Martinho expects to invest 350 million reais ($90.94 million) in the project. The company did not disclose an expected timeline for the plant's construction.
($1 = 3.8488 reais) (Reporting by Marcelo Teixeira Editing by Tom Brown )
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