Sinopec Consortium to Build Chinese Biofuel Facility

Sinopec and COFCO have signed a memorandum of understanding (MoU) with Novozymes to construct a cellulosic ethanol demonstration plant in China.

Novozymes said it will supply enzymes for the new plant, which is expected to produce three million gallons of bioethanol, made from corn stover, a year.

The company said the proposed unit will be the largest demonstration facility in the country to convert agricultural waste into biofuel.

According to Novozymes, by converting agricultural residues into fuel ethanol, China can reduce its gasoline consumption by 31 million tons by 2020.

The plant is expected to be completed in the third quarter of 2011.