Mozambique Principle Energy builds ethanol manufacturing plant in Mozambique

Published: 30-Aug-2010

Construction of a factory which will manufacture ethanol in Dombe, in Mozambique’s Manica province, will be undertaken, as part of an investment by Mozambique Principle Energy, expected to cost over $450 million.

The factory will produce 220 million litres of ethanol per year, which would mainly be exported to the UK, through oil company Shell. Construction is likely to begin in 2011 and expected to be completed by 2013.

The project also entails an area of 18,000 hectares for growing sugar cane and setting up four irrigation pumps as well as construction of social facilities such as schools, health centres, water supply and electricity.

Three years ago, Mozambique Principle Energy had begun the production of sugar cane, the raw material that will be used to produce the ethanol, and has already planted up 131 hectares with a further 121 hectares being prepared. It is expected that by the end of 2011 there will be enough sugar cane to justify construction of what may become the first factory of its kind in the country.

The remaining area is currently being cleared and sugar cane saplings are being produced and planted and Mozambique Principle Energy has already set up two of the four irrigation pumps for the sugar cane, water for which will be taken from the Lucite River, which runs by the area made available for the project.

Mozambique Principle Energy is the Mozambican subsidiary of UK-based group Principle Energy. The Mozambique’s Council of Ministers has provided a concession area of 25,000 hectares on the right bank of the Lucite River in Dombe to Mozambique Principle Energy.

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