High palm oil prices halt USD5.5 billion Indonesian biodiesel plan
Bloomberg are reporting that Indonesian palm oil growers including PT Sinar Mas Agro Resources and Technology and China National Offshore Oil Corp. are halting or amending a USD5.5 billion biodiesel plan after the recent increases in palm oil prices made the rendered the projects no longer viable.
Palm oil prices have more than doubled in the past year, undermining the economic rationale for making biodiesel even as governments worldwide mandate greater use of alternative fuels. Malaysian biodiesel producers have suffered the same fate with many facilities that rely on palm oil feedstock shutting down (previous post).
Filed under: Biodiesel, Biofuel, Projects | Tagged: palm oil, China National Offshore Oil Corp, PT Sinar Mas Agro Resources and Technology
