Baltic Bioethanol of Estonia plans to build a bioethanol plant in Bauska, Latvia with an investment of up to EUR 150 million, local media report.

The plant will produce second-generation bioethanol from straw purchased from local farmers. It would be buying an estimated 300,000 tonnes of straw per year. All of the plant’s output is intended to be sold abroad.

Baltic Bioethanol aims to sign long-term contracts with farmers by the end of the year and to start construction after securing the required approvals. The facility will be built without government co-financing.

The location was selected because of the availability of straw in the area, as well as the support from the Investment and Development Agency of Latvia (LIAA) and the Bauska County Council.


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