E-Cane Fuel gets offers for partnership in ethanol proj

US-based E-Cane Fuel Corp. said yesterday it is willing to entertain investors who would express “strong commitment” to its $168-million ethanol processing project.

E-Cane chairman and CEO Jean-Pierre Monclin said the company would welcome investors who would have the dedication and commitment to go forward.

“We are receiving numerous offers from possible joint venture partners.  This is a positive development but we would like to partner with those investors who would not only pour in capital but are committed to do the project,” he said in an interview

Monclin, however, said they have yet to receive any feelers from a group of Filipino businessmen headed by Greg Gonzales, who apparently owns real estate properties in Northern Luzon.

“Up to now, we have not been contacted by that group,” the E-Cane official said.

 Sans the entry of new investors, Monclin said the project has been progressing quite smoothly. “We have secured support from the Department of Energy (DOE), Philippine Economic Zone Authority (PEZA) and Department of Agriculture (DA),” he said.

Recently, Gonzales said the Pilipinas Biofuels Group, composed of Kabahayan, Kabuhayan at Kaunlaran (KKK) Foundation Inc. and Pilipinas Development and Management Corp., is willing to tie-up with E-Cane for the multi-million dollar ethanol processing project.

Gonzales said the group has assets worth over P4 billion to back up the possible investment in the ethanol project.

E-Cane earlier said it is looking for a possible joint venture partner to provide at least $30-million equity to the ethanol project in Central Luzon.

Monclin said the $168-million investment is the biggest private investment by a US company in the local biofuels industry.

He added that the project is also the firm’s first investment in Asia. E-Cane has bioethanol-related operations in Latin America and Columbia.

E-Cane is putting up a fully-integrated ethanol processing facility capable of producing 150 million liters annually by 2010.

Based on the initial plan, E-Cane intends to use technology from India’s PRAJ Industries. It also plans to tap Thyseen Krup as engineering, procurement and construction firm for the mill and the electric cogeneration facility. 

Monclin said ethanol production will be sold primarily to the domestic market while a portion will be exported to Japan and Korea.