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Ecuador mandates new 5pc biodiesel blend for 2013

28 Sep 2012, 7.57 pm GMT

Quito, 28 September (Argus) — Premium diesel sold in Ecuador will be required to contain 5pc biodiesel starting next March.

Decree 1303 signed by President Rafael Correa states the new blend mix will go into effect 17 March, 2013, using locally-produced biodiesel. No imports will be allowed, it said.

Ecuador currently produces a small amount of biodiesel from palm oil. The objective of the first-ever blending mandate is to stimulate domestic production. In the long term, as local biodiesel production increases, the biodiesel content could rise to a 10pc blend, according to the new regulation.

The country's premium diesel demand is averaging 9,600 b/d this year, with 1,370 b/d imported, according to state-owned energy company PetroEcuador. A 5pc mix of that premium diesel demand translates to about 480 b/d of biodiesel that will be required for blending.

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