Brazilian agribusiness firm 3tentos unveiled details of its seven-year investment plan, allocating most of its resources to corn-based ethanol production, followed by logistics and storage expansion works.
3tentos' 2024-30 strategy envisions around R2bn ($408mn) in investments, of which R1.04bn will go to a 935,000 liters/d (5,880 b/d) corn ethanol plant in Porto Alegre do Norte city in Brazil's top grain-producing Mato Grosso state.
The announcement comes at a time when the corn-based biofuel is likely to expand its share of the country's production mix as investor interest increases.
Initials details of the plan first emerged in March 2022, disclosed to Argus by 3tentos president and company founder Luiz Osorio Dumoncel.
Besides ethanol, the Porto Alegre do Norte unit will also process 587 metric tonnes (t)/d of dried distillers' grain (DDG) and 37 t/d of corn oil, according to the company estimates.
Logistics is also in 3tentos' plan, as it looks to build — along with domestic food group Caramuru Alimentos — a river transshipment terminal in Itaituba, in northern Para state, and a port terminal in the Santana port, in northern Amapa state.
The two companies will spend a total of R200mn each by 2028 on the project. The project is set to begin operating in 2026.
The firm will allocate the remaining R760mn to expand its soybean processing capacity, as well as its seed and fertilizer output, besides opening new stores and developing new business opportunities.
By 2030, 3tentos expects to have raised installed soybean crushing capacity at its three industrial units to 10,500 t/d from the current 6,600 t/d. That would increase total biodiesel output to 2.5mn l/d from 1.85mn l/d. These plants should also produce 7,100 t/d of soybean meal and 2,100 t/d of soybean oil.
The company will expand its seed production capacity to 1mn bags/yr from 600,000 bags/yr, while the fertilizer output is expected to rise to 300,000 t/yr from 150,000 t/yr.
Back in July 2021, 3tentos raised R1.3bn from an initial public share offering (IPO) on Brazil's B3 stock exchange. The company has been expanding its physical trading of soybeans, the main input for biodiesel production in Brazil, including construction of a new biodiesel plant in Mato Grosso.
The firm started crushing soybeans and producing biodiesel in Mato Grosso's Vera city in July. The plant processes 2,600 t/d of soybean and produces 1mn l/d of biodiesel.
3tentos has a biodiesel production capacity of 1.85mn l/d, considering the plants in Rio Grande do Sul's Ijui city and in Mato Grosso.
