Conal Holdings to build ethanol plant

Conal Holdings Corp., the power subsidiary of Philippine-based Alcantara Group, said it will invest close to US$50 million in a bioethanol plant in Cagayan de Oro. The plant will produce at least 100,000 liters a day and will use locally sourced cassava chips as feedstock. Under the Biofuels Act of 2006, oil companies are mandated to pre-blend gasoline with 5% ethanol starting this year, rising to 10% by 2011. According to Conal Holdings officers, the company was already in the advanced stages of completing a feasibility study. (May 28, 2009)