As measures against global warming progress, we hope to secure energy conforming with the carbon dioxide emission standard by focusing on energy resources, and at the same time to perform projects that consider the economy in developing countries.
Biomass fuel is a deciding factor to reduce global warming and the trend of production expansion has also been accelerating, due to the alternative demand resulting from wild fluctuations in oil prices in recent years. In particular, the U.S., EU, China, Brazil and various foreign countries in Southeast Asia, etc. are trying to realize conversion into biomass fuel as a national policy at a vigorous speed.
Under these circumstances, we are performing the following projects in corporation with Shanghai CNPC Enterprise Group Co., Ltd. (Shanghai CNPC).
We are currently working on 12 million hectares of land to grow Jatropha in Liberia, Ghana and Cote d'lvoire in Africa jointly with the Asian Development Bank.
We are participating in the project to grow seeding of improved Jatropha developed by the research institute of Shanghai CNPC, and to reclaim the one million hectares of land to grow Jatropha under the support by the Chinese government (Notification in Zaiken 2007 No.435: Law to tentatively enforce fund management of the land for bioenergy and biochemical materials).
We are taking part in the FTZ project to develop a distribution channel in addition to the business to reclaim the 1.5 million hectares of land to grow Jatropha in the Republic of Indonesia.
We refine biodiesel fuel (BDF) as the biomass fuel at refineries of Shanghai CNPC in Shanghai, Liuzhou and Dafeng. We are targeting to reinforce the total refining capacity to one million tons per year. We refine biofuels such as high FFA crude palm oil and PAO (palm acid oil) for approximately four years until Jatropha grows, and sell them to various foreign countries (e.g. countries in EU and East Asia, the U.S., etc.) where there is an active demand for BDF in cooperation with Shanghai CNPC.
Moreover, bio-diesel fuel (BDF) that is in Shanghai, Liuzhou, and Dafeng, Shanghai CNPC refinery, and is the biomass fuel is refined. The total refinement ability attempts reinforcing aiming at one million tons/year. It sells it to various foreign countries (EU nations, east Asian nations, and United States, etc.) where the biotechnology fuels such as High FFA Cludo palm oil and PAO (palm acid oil) are refined for about four years until Jatropha grows and the demand for BDF is vigorous with Shanghai CNPC
Biodiesel fuel is the renewable biomass fuel deriving from plants with rape seed oil, etc. as raw materials. Carbon dioxide (CO2) exhausted by utilizing (burning) it as fuel is fixed by growing plants as raw materials; therefore it has a characteristic not to generate additional CO2 if utilized in consideration of the CO2 balance (carbon neutral). In this way, biomass utilization which does not increase CO2 with the greenhouse effect as the total system from production to utilization is considered as an effective measure against global warming. Our company works on measures to reduce global warming by disseminating the biodiesel fuel mainly with PAO (palm acid oil) and Jatropha.
A business to grow Jatropha as raw materials for biodiesel production has begun in Indonesia; therefore for the time being we plan to purchase raw materials from this region, process them at an oil refinery which is scheduled to open in Indonesia, and bring them to the BDF plant in Indonesia as Jatropha crude oil.
The government is currently working on biodiesel development as a national policy, in order to build the foundation of long-lasting economic development through domestic production of renewable alternative fuels.