Philippines to launch world-scale jatropha farm

By Staff
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Google Oneindia News

SINGAPORE, July 2 (Reuters) A Singapore-based company and partners in the Philippines announced plans on Monday to develop the world's first world-scale jatropha plantation, lending a boost to hopes for bigger biofuel output from the tough shrub.

Unlisted Tian Biogreen Energy Limited (TBEL) will jointly develop a 1.5 million hectare jatropha plantation with Power Generation of the Philippines Inc and a 500,000 hectare jatropha plantation with Prize Farms Inc, Lim Hong Hui, chief executive officer of TBEL told reporters on Monday.

The combined 2 million hectares of crops is expected to produce 1.2 million metric tonnes a year of jatropha crude, which is a similar product to crude palm oil, he said.

Jatropha is a drought-resistant perennial bush or small tree that analysts consider one of the most promising sources of biofuel today, as it avoids strain on food crops like corn and sugar, which can also be turned into liquid fuel.

A number of trial projects have been launched in countries like Cambodia, Indonesia and India, but the Tian project would be the first on a commercial scale, officials said.

Fuel produced at the larger plant will be sold to the Philippines partner for power generation, while the smaller project is set to supply feedstock to Innovation Fuels, a United States-based renewable fuel company.

Lim said land surveys required before planting could begin should be finished by the end of this year, and it would take two years for the crops to reach full maturity.

The Philippines, almost entirely dependent on imported oil, has like many Southeast Asian countries pursued the development of a biofuels industry to offset rising oil costs.

REUTERS SR BD1940

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