Adecoagro, an agricultural business in South America, declared that it has received the needed environmental permission to begin the building and assembly of the Ivinhema mill.
The project will be located in the State of Mato Grosso do Sul, Brazil around 45 km away from the company’s first Greenfield project Angelica mill. The Angelica mill currently operates to its full capability and crushes around 4.0 Mt.
The Ivinhema mill, which incorporates the latest equipment, will have features such as turbo-generators and high pressure steam boilers for cogeneration of electric power, adaptability to produce ethanol or sugar, and mechanized planting and harvesting functions. The mill will also have the capability to convert spin-offs such as filter cake and vinasse into organic fertilizer for use in the sugarcane plantation of the mill. The company has already entered into a contract for the purchase of key equipment valued of $42.3 million and planted sugarcane around 20,700 ha close to the Ivinhema mill location. The mill is anticipated to commence its operations in the first part of 2013 and when becomes fully functional in 2017 will achieve the capability to handle 6.3 Mt.
Completion of Ivinhema will enable Adecoagro to achieve a total crushing capability of around 10.3 Mt from both the mills by utilizing the sugarcane plantation from over 110,000 ha. The project designed to meet the highest level of ecological standards will provide employment to more than 3,200 local people.