NEW YORK, Aug 25 (Reuters) – Brazilian transportation firm Logum Logistica stated on Wednesday it carried out its first ethanol export deal to California utilizing pipelines to maneuver the biofuel from the manufacturing area to the port.
Logum, an organization that has been investing in pipelines to move gasoline in Brazil, stated it moved 40 million liters of ethanol from a terminal in Ribeirao Preto, in the principle sugar and ethanol belt, to the Ilha D’Agua port in Rio de Janeiro utilizing a mix of quick truck journeys and its pipeline system for a complete rout of 745 km (462.92 miles).
The agency stated the transport of the ethanol by pipelines, past the smaller value and economies of scale, prevented using greater than 700 vans, estimating the operation prevented 2,000 tonnes of carbon emissions.
Logum stated the deal was doable as a result of the California authorities offers a value premium to cane-based ethanol in addition to for biofuel that’s transported by way of lower-emissions infrastructure.
“The California program foresees a premium of as much as $eight per 1,000 liters of ethanol,” it stated in a observe.
Brazil and america are the 2 largest producers and shoppers of ethanol. They commerce between one another, with U.S. ethanol makers often exporting to Brazil’s Northeast area, whereas Brazilian mills ship the gasoline to California utilizing the environmental premiums.
(Reporting by Marcelo Teixeira; Enhancing by David Gregorio)
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