China Integrated to acquire Hainan LinGao Chemical

Biodiesel producer China Integrated Energy has agreed to acquire Hainan Lin Gao Chemical Co. Ltd. and set up a 300,000 ton biodiesel plant in Hainan Province, China, at a cost of US$9 million. The planned biodiesel plant’s first phase would have a capacity of 100,000 tons. Operations will start 12 months after the acquisition’s completion, China Integrated said. The plant will use as mostly bagasse, the fibrous residue from sugarcane stalks crushing, as feedstock. China Integrated is currently conducting due diligence and expects to close the deal by the end of the first quarter. (January 4, 2011)