Shell in biofuel joint venture
Shell has announced a joint project with Brazilian energy group Cosan to produce low-carbon biofuel, using ethanol made from sugar cane. The joint company, known as Raízen, will initially operate in Brazil.
The deal combines Shell’s retail experience, global network and research in advanced biofuels with Cosan's technical knowledge of producing biofuels on a large scale. Raízen will produce and sell over 2 billion litres a year of ethanol made from Brazilian sugar cane. Shell says it is already one of the largest distributors of sustainable biofuels: now it is moving into production.
Raízen will initially distribute fuels through a network of Shell-branded retail outlets in Brazil, though plans include expansion into other markets and other geographical locations.
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