Brazilian biofuels and biochemicals company GraalBio Investimentos and Chemtex Italia have entered into collaboration for the development and construction of the first industrial scale cellulosic ethanol plant in Brazil.
The project will use Chemtex's Proesa technology to produce cellulosic ethanol.
The cellulosic ethanol plant is expected to begin operations by 2013.
Chemtex is currently building a 40,000 metric ton-per-year bio-refinery using Proesa technology in Crescentino, Italy, that will produce cellulosic ethanol by the end of H1, 2012.
The two companies are also in discussions regarding a broader cooperation to develop and produce biofuels and biochemicals in Brazil.