Corden BioChem, an expert in industrial biotechnology, could resume production at the bioethanol factory it took over from Swiss Clariant in southern Romania (or “Lesser Wallachia” as indicated by the company) at Podari, after the Competition Council authorised the takeover of the steam and electricity supplier.
The company announced on its website that the Podari factory will become operational in 2026.
Corden BioChem acquired the decommissioned site from Clariant in July 2024 under an agreement settled by its parent company, ICIG. It previously announced the resumption of operations in May this year, but this was apparently prevented until now by the absence of a power and steam supplier.
The Competition Council has now authorised the transaction through which Corden BioChem Romania will take over certain assets held by Getec Servicii Energetice – a company that supplies steam and electricity to the Podari factory, Economica.net announced.
Following the operation, Corden BioChem intends to resume bioethanol production at the Podari factory (Dolj County) and develop new products in the field of biotechnology, thus strengthening Romania’s position on the European map of sustainable production.
“Initially, Corden BioChem plans to use the existing infrastructure for the production of first-generation (1G) bioethanol, based on local raw materials such as molasses and starch. The estimated initial production capacity is several tens of thousands of tons annually. At the same time, it will strengthen a team of local specialists, creating dozens of new jobs in the region. The initiative contributes to fulfilling the obligation of fuel distributors in Romania to market a minimum content of biofuels, in accordance with Government Emergency Ordinance (GEO) no. 33/2023, and contributes to reducing dependence on imported fuels,” according to the company’s announcement earlier this year.
Swiss producer Clariant started production of the first quantities of commercial cellulosic ethanol at its new plant in Podari on June 14, 2022, following an investment of EUR 140 million. The entire quantity was to be taken over by Shell, based on a multi-year contract.
The factory announced at the time that it would produce approximately 50,000 tons of second-generation biofuels from 250,000 tons of locally sourced agricultural residues.
However, following continued financial losses, Clariant decided in December 2023 to cease operations, citing that further ramp-up would require substantial capital investment with no viable return. In total, Clariant invested EUR 140 million in the project, including EUR 40 million in funding from the European Union through the Bio-Based Industries Joint Undertaking (BBI).
iulian@romania-insider.com
(Photo source: Clariant.com)
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