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Petrobras and Galp to Form Biofuels Joint Venture in Portugal

Petrobras and Galp Energia signed a cooperation agreement for a biofuels production project in Portugal. The project will be implemented via a parity joint venture yet to be formally constituted. According to Petrobras Biocombustível CEO Miguel Rossetto, production is expected to start in Portugal in 2015.

The companies will build a biodiesel production plant at Galp’s Sines refinery, which will process the feedstock produced in Brazil. The agreement is an extension of the partnership that has already been announced for the production of palm oil in Brazil. (Earlier post.)

The partners intend for the plant to produce 260 million tons of biodiesel per year; feedstock will be the palm oil produced in the Brazilian state of Pará.

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