January 20 (Renewables Now) – Brazil’s National Development Bank (BNDES) has approved financing of BRL 941.6 million (USD 177m/EUR 146m) for the construction of a 40-MW biomass power plant and several upgrades planned by Grupo Sao Martinho SA (BVMF:SMTO3).
Named UTE Sao Martinho Bioenergia, the new biomass plant will use sugarcane bagasse as fuel. Located in the municipality of Pradopolis, Sao Paulo state, Sao Martinho should be able to generate some 210,000 MWh per year.
The facility will supply clean energy to the other plants located within the industrial complex, BNDES points out in the press release.
In addition to the implementation of Sao Martinho, the funds will also be used to build a new corn ethanol plant at the Usina Boa Vista facility in the state of Goias and for some other initiatives.
BNDES estimates the new projects will be fully implemented by 2026.
(BRL 1.0 = USD 0.189/EUR 0.155)