Latest News

Portugal, Brazil seek Brazilian investors for sustainable fuel plants in Europe

Portugal, Brazil seek Brazilian investors for sustainable fuel plants in Europe
Portugal, Brazil seek Brazilian investors for sustainable fuel plants in Europe

Portugal and Brazil are looking to attract Brazilian investors to build one or more advanced biofuel - and sustainable aviation fuel plants.

Maria Graca Carvalho said she would discuss the project, which targets the domestic and European market, when she meets her Brazilian counterpart next week in Brasilia.

Carvalho says that the company wants to take advantage of Brazil's biofuels expertise and Portugal's role as a European gateway in order to meet the growing demand for low carbon fuels.

BRAZIL HAS AN 'SIGNIFICANT' EXPERTISE, MINISTER SAYS

Carvalho stated that the project had the support of Brazilian President Luiz inacio Lula da Silveira. She said that Brazil, which she called a "very-close" partner of Portugal, was the country's biggest oil supplier and accounted for 44% imports.

Carvalho, a reporter at the time, said that Brazil has been a leader in biofuels for many years. It also has a significant amount of technological expertise in SAF and advanced biofuels. We want to provide Portugal with the opportunity to establish one or two fuel plants.

She said, "We are looking into a joint venture that would allow us to produce for both the Portuguese and European markets."

Any deal can be handled by a foreign investment agency

She confirmed that she will visit plants in?Brazil this week. She added that any potential investment in similar plants in Portugal would be handled by AICEP, Portugal's foreign investments agency.

Portugal's advanced-biofuels industry has just begun.?Galp is building a 270,000 ton-per-year plant in Sines that will begin producing SAF in 2026.

Carvalho stated that Algeria was Portugal's second-largest supplier of oil after Brazil. Nigeria and the U.S. are the two major natural gas suppliers. This means the country is not dependent on the Gulf region but remains vulnerable to global energy prices swings. (Reporting and editing by Jan Harvey; Sergio Goncalves)

(source: Reuters)