Chemrez to spend P700M for biofuel storage
02/06/2007 | 04:53 PM
Listed alternative fuel maker Chemrez Technologies Inc. on Tuesday said it would spend nearly P700 million to shore up its storage capacity for ensuring there is an adequate supply of coco-biodiesel in time for the implementation of the Biofuels Act in April.
Chemrez chief operating officer Dean Lao Jr. said ChemrezTech and sister firm Malay Resources Inc. will spend P691 million to secure storage tanks, a barge and trailer trucks.
Lao said the firm has finished its continuous process biodiesel plant which can produce the mandated blend, and that the funds would be needed for storage and logistics.
"Our commitment is to ensure the Biofuel Law's mandate for a 1 percent blend of coco-biodiesel can be implemented today by providing a quality product reliably and consistently to all our customers including the oil companies," Lao said.
He said Chemrez can assure oil firms a reliable supply of biodiesel, with its plant ready to produce more than what is required for a one percent blend.
The Biofuels Act directs oil companies in the Philippines to make B1 diesel, or petroleum diesel fuel blended with one percent coco-biodiesel.
The Chemrez official said the company spent P44 million to set up storage for 3 million liters of coconut oil as feedstock, and has storage capacity for two million liters of the firm's finished product, called BioActiv.
The alternative fuel maker will also acquire a 1.5 million-liter barge built specifically to transport BioActiv to oil companies' terminals.
Malay Resources also spent P138 million for more berthing facilities, barges and tanks dedicated for storage of BioActiv coco-biodiesel in its San Juan operations along the Pasig River. -GMANews.TV
Chemrez chief operating officer Dean Lao Jr. said ChemrezTech and sister firm Malay Resources Inc. will spend P691 million to secure storage tanks, a barge and trailer trucks.
Lao said the firm has finished its continuous process biodiesel plant which can produce the mandated blend, and that the funds would be needed for storage and logistics.
"Our commitment is to ensure the Biofuel Law's mandate for a 1 percent blend of coco-biodiesel can be implemented today by providing a quality product reliably and consistently to all our customers including the oil companies," Lao said.
He said Chemrez can assure oil firms a reliable supply of biodiesel, with its plant ready to produce more than what is required for a one percent blend.
The Biofuels Act directs oil companies in the Philippines to make B1 diesel, or petroleum diesel fuel blended with one percent coco-biodiesel.
The Chemrez official said the company spent P44 million to set up storage for 3 million liters of coconut oil as feedstock, and has storage capacity for two million liters of the firm's finished product, called BioActiv.
The alternative fuel maker will also acquire a 1.5 million-liter barge built specifically to transport BioActiv to oil companies' terminals.
Malay Resources also spent P138 million for more berthing facilities, barges and tanks dedicated for storage of BioActiv coco-biodiesel in its San Juan operations along the Pasig River. -GMANews.TV
