March 7, 2007

China's CNPC signs ethanol deal in Shandong using non-grain crops

China's National Petroleum Corp (CNPC) has signed a deal with the government of the eastern province of Shandong last week to produce fuel ethanol and bio-diesel, using non-grain crops as the feedstock, the official Xinhua news agency reported.

The news agency said that initially, CNPC would produce 200,000 tonnes of fuel ethanol and 100,000 tonnes of bio-diesel per year in Shandong.

CNPC and the provincial government will cooperate in building supplementary raw material bases in Shandong.