DONG Energy receives grant for second-generation bioethanol plant

DONG Energy has been promised a grant of DKK 54.2 million from The Danish Energy Authority’s EUDP funds (The Energy Technology Development and Demonstration Programme) for a demonstration plant that is to produce bioethanol, biofuel and animal feed on the basis of surplus straw from agriculture. In December 2007, DONG Energy received DKK 22,5 million from the Energy Authority’s EFP funds (The Energy Research Programme).

“We are very satisfied with the support from the Energy Authority. We can now begin construction of the demonstration plant and we look forward to being able to supplement petrol and coal with an alternative, which is both financially and environmentally sustainable. With our version of a second-generation technology, we can present a solution to the challenge within the transport sector to reduce CO₂ emissions”, says Anders Eldrup, DONG Energy CEO.

DONG Energy’s plant can result in a significant CO₂ emission, because the plant, in addition to being self-sufficient in energy, also delivers biofuel for the generation of electricity and heat at the Asnæs Power Station. This will reduce the need for coal-firing and cut the CO₂ emissions of the power plant. Furthermore, the residual products from generation can be used for agricultural animal feed.

The plant, which will be built in proximity to the Asnæs Power Plant in Kalundborg, will annually produce 5,4 million litres of bio ethanol on the basis of 30.000 tonnes of straw, as well as 8.250 tonnes of bio fuel and 11.100 tonnes of animal feed. Danisco Genencor will supply enzymes for the production and many Danish subcontractors will be involved in the construction of the plant. The cost of the build is around DKK 300 million and the plant will begin production towards the end of 2009. Final official approvals are expected to be in place during the third quarter of 2008.

For further information, contact:

Head of Media Relations
Louise Münter
+45 6155 8771

DONG Energy receives grant for second-generation bioethanol plant