FS, a leading ethanol and animal nutrition producer in Brazil, has taken a groundbreaking step towards mitigating climate change by proving the geological feasibility of injecting carbon dioxide (CO2) into the subsoil at its Lucas do Rio Verde facility. This technical breakthrough paves the way for FS to become the world’s first ethanol producer with a negative carbon footprint. By implementing BECCS (bioenergy production with carbon capture and storage) technology, FS will be the first ethanol producer outside the U.S. to adopt this innovative solution. The adoption of BECCS at the Lucas do Rio Verde facility will prevent the release of approximately 423,000 tons of CO2 into the atmosphere annually, significantly reducing the industry’s carbon footprint. The technology has the potential to be scaled up across FS’s operations, reaching a potential for removing over 1.8 million tons of carbon per year from the atmosphere. The BECCS process involves capturing carbon, a major contributor to the greenhouse effect, during the fermentation phase of biofuel production. This captured CO2 is then injected underground into deep geological layers, where it is safely stored for thousands of years without influencing global warming. FS has been working on this project for four years, drilling a stratigraphic well approximately 2,000 meters deep to examine rock formations beneath its Lucas do Rio Verde facility. Studies concluded that the Diamantino rock formation, located in the Parecis Basin in Mato Grosso, has adequate porosity and permeability conditions to receive CO2 injection at a depth of over 800 meters. Currently, only two ethanol producers in the world have operational BECCS technology, both located in the United States. However, FS’s facility will be the first to achieve carbon negativity, as it utilizes second-crop corn as a raw material and renewable biomass from planted forests as an energy source. According to FS CEO, the technical study’s results are a crucial milestone in encouraging investments in BECCS technology by the ethanol sector. He emphasizes the need for advancements in regulation and carbon trading markets to support the implementation of this sustainable solution. He also highlights the potential of ethanol produced with BECCS technology to be used in sustainable aviation fuel (SAF) and marine fuel, further contributing to the world’s energy transition. FS plans to invest in equipment for capturing, dehydrating, compressing, and injecting CO2 underground once the senate approves the regulation of the activity, which is included in the bill for the Fuel of the Future program. Work could begin later this year, with completion scheduled for the end of 2025. The project is expected to create around 230 direct jobs during well drilling, construction, and assembly of CO2 compression and dehydration equipment. The project has received financial support from FINEP, a public agency that promotes innovation and focuses on strategic, structuring, and impactful actions for sustainable development in Brazil. FS’s Vice President of Sustainability and New Business emphasizes that this is a crucial step towards achieving the company’s vision of becoming the world’s largest producer of carbon-negative fuel. He expresses the company’s dedication to monetizing the project through the sale of carbon credits and awaits the approval of the legal framework by the Senate.
FS Becomes First Ethanol Producer with Negative Carbon Footprint Using BECCS Technology
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