Austrian oil baron Rudi Roth to invest $50 millon in Hungarian biodiesel venture

In Hungary, Austrian oil baron Rudi Roth announced that MOL has increased its ownership to 33 percent in the 43 Mgy canola-based Rossi Biofuels biodiesel plant in Komarom. Roth will invest a total $50 million in the project, which will be the largest environmental joint venture between Austria and Hungary. MOL previously said it would own 25 percent, Roth had previously pegged his investment at $50 million.
In Hungary had been experiencing numerous setbacks in the development of its biofuels industry.

SEKAB recently canceled plans to develop four ethanol plants in Hungary, citing financing difficulties. The company had planned an investment of $600 million in the region, but said that more than 30 plants had been shelved due to poor confidence levels among bankers about feedstock prices and economic viability. A recent drought caused Hungary’s corn crop to come in at half of normal levels in 2007, prompting fears of a a feedstock shortage.

A spokesmen for SEKAB, a Swedish development company, told Reuters that the only plant that was approved in Hungary was an extension of an existing facility, leaving Hungary with two operating ethanol plants.

Duna Development recently announced that it will build a 26 Mgy corn ethanol plant near Orosháza, in southeast Hungary. Duna said that Hungarian, Swiss, Austrian and German investors are backing the $126 million project that will open in fall 2009. The plant will also produce 18 Mw of electricity and 60 million cubic meters of natural gas.

Magyar Bioenergetikai (Mabio) announced that it will develop two ethanol plants in Csabacsűd and Szabadszállás with a combined production capacity of 65 Mgy. The development will cost $263 million.

Free Subscription to the Daily Biofuels Digest e-newsletter

Related Stories

Agrana launches 240,000 tonne sugar beet ethanol plant in Austria

In Austria, Agrana has launched a 240,000 tonne corn and sugar beet ethanol plant in Pischelsdorf. The $180 million project will employ a staff of 69. The company had delayed a planned opening in Marc...

Duna to develop 26 Mgy corn ethanol plant in Hungary

In Hungary, Duna Development announced that it will build a 26 Mgy corn ethanol plant near Orosháza, in southeast Hungary. Duna said that Hungarian, Swiss, Austrian and German investors are backing...

Sekab cancels Hungarian ethanol project, citing financing; 30 Hungarian ethanol projects now shelved

In Hungary, SEKAB has canceled plans to develop four ethanol plants in Hungary, citing financing difficulties. The company had planned an investment of $600 million in the region, but said that more t...

150,000 tonne Rossi Biofuels biodiesel plant opens in Hungary

In Hungary, the 150,000 tonne Rossi Biofuels biodiesel plant has commenced operations in Komárom. Austrian businessman Rudi Roth owns 75 percent of the $60 million project and joint venture partner...

Hungarian researcher blames biofuels for contributing to Eastern European drought

A Hungarian researcher blamed biofuels for contributing to Hungary's severe drought this year. The researcher said that farmers that sold stalks and straw instead of leaving them in their fields, as s...

Japan’s Sumitomo to invest $280 million in Brazilian ethanol

In Japan, Sumitomo disclosed to the Bloomberg news service that it is planning to invest up to $281 million in an ethanol joint venture in Brazil. The company did not disclose the partner, but said th...