Friday, August 24, 2007

[PBN] BP becomes Australia's largest mareter of Biofuels


BP signs biofuel deal with Manildra

Posted August 22, 2007 12:00:00

Manildra's Bomaderry ethanol plant in southern New South Wales is to
benefit from a multi-million-dollar deal to supply BP Australia with
ethanol over the next year.

The agreement means 40 million litres of ethanol will be supplied to BP,
a deal which will result in nearly half of its fuel sales in New South
Wales containing the biofuel.

BP says it has also started negotiations to extend the agreement for the
next two years.

Company spokesman Chandran Vigneswaran says selling more ethanol-blended
fuel at more service stations is just one part of its strategy.

"Certainly it's a multi-million deal, something we have worked on very
hard with Manildra for at least the last year," he said.

"It's one of the biggest supply agreements for ethanol in the country."



BP becomes Australia's largest marketer of biofuels

Posted by Giles Clark, London
Wednesday, 22 August 2007

BP Australia and Manildra Energy Australia announced today (22nd August)
one of Australia's largest biofuels supply agreements, a deal which will
result in nearly half of BP's fuel sales in New South Wales containing
renewable ethanol.

Following the agreement, BP will receive from Manildra's Bomaderry
ethanol plant (near Nowra) 40 million litres of ethanol over the next
year, with deliveries to commence this month. The deal with Manildra
combined with BP's existing 15 million litre ethanol supply deal with
CSR, will says BP, makes it the largest marketer of biofuels in Australia.

The two companies have also commenced negotiations to extend the
agreement for a further two years.

The ethanol will be blended at the Newcastle and Parramatta fuel
terminals to produce a regular unleaded petrol with up to 10 percent
renewable ethanol that will be sold across New South Wales. BP is
investing approximately $4 million to enable the delivery, storage and
blending of ethanol to take place at both of these terminals. The new
facilities at BP's Newcastle Terminal commenced operation earlier this
month, with Parramatta's facilities to be operational towards the end of
this year.

BP has been marketing ethanol blended fuel in Queensland since 2001 and
will now be able to commence the rollout to BP branded service stations
in New South Wales, with the fuel to be available at about 50 additional
locations by the end of the year. Over the next few years BP's planned
rollout of ethanol blended fuel in New South Wales will see this number
of service stations at least doubling.

BP Australia President, Mr Gerry Hueston said that the company's actions
demonstrated its commitment to create a sustainable future for biofuels
in Australia.

"Increasing the supply of biofuels is part of BP's long term strategy to
provide Australian motorists with the choice of a range of cleaner
fuels," said Mr Hueston.

"Selling more ethanol blended fuel at more service stations is just one
part of our strategy. Supplying large volumes of biofuels also requires
large scale supply agreements and the investment in necessary
infrastructure," he said.

"Getting all three necessities in place has required considerable work
over the past year. This commitment from BP has ensured that today's
announcement ticks all of the boxes for bringing biofuels into the
mainstream in a way that ensures it is around to stay."

Check for earlier Pacific Biofuel posts:

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