BASF to build catalyst plant in Brazil

Guaratinguetá/Brazil, Ludwigshafen/Germany – BASF is to build a world-scale plant in Brazil to make sodium methylate, used as a catalyst in biodiesel manufacture. The 60,000 t/y plant will be built at Guaratinguetá, BASF’s largest site in South America, and is scheduled for startup in 2010. It will be the first sodium methylate plant in South America and will mainly supply the regional market. “We expect annual global demand for biodiesel to increase to about 18 billion tonnes in the coming years. About 15 percent of this will come from South America,” said Ulrich Büschges, Group Vice President of BASF’s Inorganic Specialties business unit. “We want to respond to the growing needs of our customers with this investment,” added Frank Prechtl, Business Manager Alcoholates. Legislation planned in Brazil will require fuel to contain three percent biodiesel by 2013, and this figure is set to rise to five percent. Argentina has mandated that biodiesel makes up five percent of fuel by 2010. Other South American countries have similar plans.