Biggest ever bioethanol plant for UK
16 Mar 2007
Private-equity backed Ensus Ltd to establish first in series of European facilities on Teesside
London — Ensus Group, which is owned by private equity firms Carlyle Group and Riverstone Holdings, is to establish what it claims will be the world’s largest bioethanol plant, on Teesside. The 400-million-litres/year facility at the Wilton International petrochemicals complex will also be the first in a series of Ensus bioethanol plants in Europe, the Yarm, UK-based group said 15 March.
Ensus has signed up Simon Carves Ltd, part of the Punj Lloyd Group, to design and construct the plant with technology licensed from Katzen. The project is due to come on stream in early 2009 with around 100 employees and will employ another 800 during the construction phase from mid-2007.
The company has contracted Shell Trading to off-take all of its bioethanol production, while Glencore is to provide all of the grain requirements. Sembcorp is to provide the utilities at Wilton and Vopak will provide specialised bioethanol storage and handling facilities, Ensus stated.
Ensus said its facility will be able to supply around 35% of the bioethanol required for the UK government’s targeted substitution of the UK petrol market. From April 2008, the UK’s Renewable Transport Fuels Obligation will require biofuels to comprise 5% of the transport fuel mix by 2010.
According to Ensus, it aims to become a leading bioethanol supplier to the Europe transport fuels industry. Biofuels are to comprise at least 10% of the overall EU transport fuel mix by 2020 under a deal recently agreed at the EU Council of Ministers.
“We anticipate substantial growth in bioethanol demand both in the UK and across Europe,” said Robert Easton, managing director of Carlyle. “This first facility in Teesside provides the ideal platform from which to establish our position and we are already actively exploring opportunities for further facilities both in the UK and abroad.”
The Ensus board is headed by Sir Rob Margetts as chairman and Alwyn Hughes, CEO. Margetts is currently chairman of Legal & General, senior independent director and af former chairman of BOC and vice chairman of ICI. Hughes spent his career at ICI, where he held several senior roles.