BP said Friday that it plans to invest $350 million to expand its ethanol processing capacity of Tropical, one of its sugarcane processing ventures in Brazil.
The expansion, which is scheduled to start next year, includes the building of a new mill and is expected to create around 7,650 direct and indirect jobs.
The processing capacity of Tropical will double to 5 million tons of sugarcane, thereby producing 450 million litres/year of ethanol equivalent.
The mill is expected to be operating at full capacity by the end of 2014 or early 2015.
This expansion reinforces our commitment to the Brazilian sugarcane industry and will enable us to grow our business in the future," said Mario Lindenhayn, CEO of BP Biofuels Brazil.
Since we started operating in May 2011, we have been improving our operational efficiency and this announcement marks a further milestone in delivering our biofuels strategy," he added.