Cellulosic Ethanol Plant In Colombia For Sale

Business description

Our client is a Colombian corporation that has researched, designed, planned and invested in most pre-construction phases of one of the first Cellulosic Ethanol Plants in Latin America. This plant will be unique as it will produce itself the enzymes required for the hydrolysis process, for which a pilot plant is already operational. Its business model is based in producing up to 105,000 gallons daily of ethanol from sugar cane bagasse. The feedstock will be obtained from secured agreements in place with local sugar cane growers and will guarantee that the sugar will be extracted before the ethanol process begins.
The project is integrated into a sector of the sugarcane growers and
region, with over 16,800 acres planted in sugar cane. The sugar cane is processed today through 450 rudimentary mills which will be replaced for 210 new energy efficient devices. This will provide the sugarcane bagasse for plant
ethanol and bio-fuel will substitute. The project will not require any newly planted sugar cane and will integrate over 16,000 acres to produce the bagasse needed for cellulosic ethanol plant.
The plant will be capable of producing up to 105,000 daily gallons. It is envisioned that the cost of production will be under US$1.4 per gallon and the Colombia government has issued guaranteed prices over US$2.6 per gallon. Market price is over US$3.6 per gallon. Revenue of the plant is envisioned at a minimum of US $96 million per year, estimating 32 million gallons at US$3 per gallon. At this price level it is envisioned to have an EBITDA of 37% over Revenues.
The plant will require a staff of 43, but will generate jobs for 6,300 people working at the sugar cane recollection and processing, and additional 490 jobs in the transportation and pretreatment of the sugar cane bagasse.
The project puts together the latest technology, with attractive returns for investors, and a high level of social consciousness.
Required funding: $191,000,000 (minimum of 15% equity)

Property information

Real Estate:

Lease

Premises details:

$N/A

Other information

Reasons for selling:

expansion

Financing available:

Downpayment Required: $0