San Miguel Corporation yesterday confirmed to the Philippine Stock Exchange that it is planning to develop ethanol production projects in various areas in the country, including Negros Occidental.

“The Company confirms that it is studying a possible investment in ethanol production as part of its strategic supply assurance for its liquor business,” Ferdinand Constantino, corporate information officer, said in a disclosure to the PSE.

It was reported yesterday that SMC is targeting a 22,000-hectare land in Bago City to be planted for sugarcane as feedstock for ethanol production.

Negros, with its vast sugarcane plantations, is considered a primary source of ethanol.

The food and beverage conglomerate is looking into 76,000 hectares of sugarcane land for about 10 plants, each with 100,000 liter daily capacity, the report cited by PSE said.

SMC had written to the Sugar Regulatory Administration to ask for government assistance in identifying land areas suitable for sugarcane.

Aside from Negros Occidental, also being eyed by SMC are 18,000 hectares each in Batangas, Ilocos and Tarlac.

The report said that SMC is estimated to invest between P8.68 billion and P16.28 billion for the ethanol plants alone which may have combined capacity of one million liters per day or 100,000 LPDs for each of the 10 plants.

In northern Negros, an ethanol plant is being constructed by San Carlos Bioenergy Inc., which is expected to produce 100,000 liters a day when its begins its commercial operations next year.

Four other ethanol production plants are being proposed in Negros, including the one by the Gokongwei-owned JG Summit Holdings.*NLG

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