One of Brazil’s biggest ethanol producers, FS Bioenergia, has advanced to the next phase of its carbon capture project, which is projected to cost approximately 460 million reais (US$82.2m).
This move positions the company to deliver what it claims will be the world’s first negative carbon-emission ethanol, marking a milestone in sustainable fuel production.
The company, with backing from US-based Summit AG Advisors LLC, announced plans on Tuesday to invest an additional 350 million reais ($62.5m) for equipment procurement and the implementation of carbon capture technology.
This comes on top of a previous investment of 110 million reais ($19.7m), underscoring its ambition to decarbonise ethanol production at scale.
Unidade de Lucas do Rio Verde. One of FS Bioenergia’s sites. ©FS Bioenergia
The announcement follows the approval of Brazil’s “Fuel of the Future” legislation by President Luis Inacio Lula da Silva. This new policy framework sets broader mandates for biofuels, with the goal of reducing carbon intensity and paving the way for industries such as sustainable aviation fuel (SAF).
At the core of the initiative is bioenergy carbon capture and storage (BECCS) technology, which will capture and store carbon emissions generated during the fermentation process at one of FS Bioenergia’s corn-based ethanol plants.
The company expects to break ground on the carbon capture facility next year, with completion anticipated by June 2026.
How does BECCS work?
BECCS is a technology that combines bioenergy production with carbon capture to reduce carbon emissions. The process begins with the cultivation of biomass, such as plants, which absorb carbon dioxide (CO2) from the atmosphere as they grow.
This biomass is then used to produce energy, for example, through fermentation or combustion. Normally, this would release CO2 back into the atmosphere, but with BECCS, the CO2 generated is captured before it can escape.
A harvest of corn – biomass used by FS Bioenergia in its ethanol plants. ©FS Bioenergia
Once captured, the CO2 is compressed and transported to a storage site, where it is injected deep underground into secure geological formations, such as depleted oil fields or saline aquifers, for long-term storage.
By capturing and storing the CO2 absorbed by plants, BECCS effectively removes CO2 from the atmosphere, making it a negative emissions technology. This approach is increasingly viewed as a vital tool in efforts to combat climate change and achieve Net Zero targets.
Global BECCS projects
Globally, major BECCS projects are advancing in efforts to achieve negative emissions. In the UK, Drax Power Station is converting to biomass energy while capturing and storing carbon emissions underground, targeting millions of tonnes annually.
The Illinois Industrial Carbon Capture and Storage project in the US captures CO2 from ethanol production, storing it in deep geological formations. Sweden’s Stockholm Exergi is working on a BECCS project that aims to store hundreds of thousands of tonnes of CO2 from biomass energy.
