Guangzhou, Guangdong -- (SBWire) -- 10/16/2011 --Henan Tianguan Fuel Ethanol Co., Ltd. (Henan Tianguan) plans to launch cellulosic ethanol plants to gradually expand its capacity in next three years, which is expected to reach 120,000t/a in 2014.

Henan Tianguan will start to construct the plants at the end of 2011. As revealed by Mr. Cheng, a staff of Cellulosic Ethanol Department in Henan Tianguan, the company has already decided to construct about 12 plants with capacity of about 10,000t/a respectively in Nanyang City, Henan Province. It is predicted that the plants will consume about 1 million tonnes of straw annually, if the production lines are all launched in the near future. That means the farmers' revenue in the city will increase by USD46 million per year.

As the first cellulosic ethanol manufacturer with capacity of 10,000t/a, Henan Tianguan is confident about the cost of cellulosic ethanol, which is lower than that in other competitors. According to Mr. Cheng, cellulase is the key element to reduce the cost of cellulosic ethanol. Compared with other cellulosic ethanol producers, such as COFCO, he explains that Henan Tianguan has rich experience in cellulase research. That’s why the cost of cellulase is much lower than that in COFCO.

Moreover, Chinese government’s subsidy boosts the development of cellulosic ethanol industry. The policy of straw subsidy from the Chinese Government will be established at the end of 2011. Also, with Chinese Government accelerating the publication of some policies, such as encouraging the companies' development in cellulosic ethanol research, the enthusiasm of cellulosic ethanol will increase greatly. Henan Tianguan producing cellulosic ethanol receives a subsidy of about USD157/t from the Chinese Government, which makes the company maintain the profitability.

The development of cellulosic ethanol in Henan Tianguan reveals that the company is accelerating its development of cellulosic ethanol to occupy a favorable position in cellulosic ethanol industry.

The above news is from CCM’s October issue of Industrial Biotechnology China News, with more stories below:

- Henan Tianguan plans to launch cellulosic ethanol plants to expand its capacity gradually in next three years, which is expected to reach 120,000t/a in 2014.

- Guangdong Yudean starts the No. 2 biomass generator unit in Zhanjiang at the end of September 2011.

- ZTE Energy (Inner Mongolia) plans to construct the second phase of the sweet sorghum ethanol production line.

- As the Chinese government pays attention to the collection of the swill-cooked dirty oil, the bio-diesel manufacturers can have more swill-cooked dirty oil as raw material to produce bio-diesel and thus increasing their output.

- Angel Yeast accelerates the transformation of its yeast extract capacity of 10,000t/a from industrial production to end-product's production in 2012.

- Dongbao Bio-Tech takes two measures to consolidate its position in gelatin and collagen market.

- Shandong Polymer will enhance the production line of CPAM with capacity of 10,000t/a at the end of 2011.

- In August 2011, China's import volume of butanol was down by 29.35% compared with that in July 2011.

- Anqing Hexing succeeds to get a "863" Program related to the development of PBS on September 3, 2011.

- Shenzhen Rainbow continuously explores the potential customers in the starch-based materials market.

- China's PLA import volume sharply decreases while price of PLA export shows a sign of recovery in August 2011.

- WMI will establish a new subsidiary in order to develop the PLA food containers production machines and train the maintenance technicians.

About CCM
CCM is dedicated to market research in China, Asia-Pacific Rim and global market. With a staff of more than 150 dedicated highly-educated professionals. CCM offers Market Data, Analysis, Reports, Newsletters, Buyer-Trader Information, Import/Export Analysis all through its new proprietary product ValoTracer.