Bunge receives permit to build biodiesel plant in Brazil

Bunge Alimentos SA, the Brazilian arm of Bunge, received permit to construct the facility.

The plant in Mato Grosso state will be able to produce 414,800 liters (109,400 gallons) of biodiesel a day when complete, fuel regulator Agencia Nacional do Petroleo, Gas Natural e Biocombustiveis said today in Brazil’s official Gazette.

There are 60 biodiesel refineries with permits to sell fuel in Brazil with total production capacity of 16.3 million liters a year, according to the fuel regulator, known as ANP. That’s up from 47 at the start of 2010 when Brazil started enforcing a law requiring diesel distributors to mix in 5 percent biodiesel with their fuel, ANP said.

In typical fashion, shareholders sold stock to celebrate, sending BG prices lower.