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Mozambique has approved a $280-million agricultural project to produce ethanol from sugar cane, a cabinet spokesperson said on Wednesday.
The project is expected to produce about 2,5-million tons of sugar cane each year, from which 213-million litres of ethanol would be produced annually.
Production will begin in 2012 and will generate 82,5 MW of power and create 2 650 jobs. A total of 18 000 hectares of land has been allocated to the implementing company, Mozambique Principle Energy, which has Mauritian interests.
20 Percent of the power output would be exported and the remaining 80 percent had been earmarked for national use.
An annual revenue of $57-million in 2011, another $119-million the following year and $114 in 2013 is expected.
The project will be launched in Dombe district in the central Manica province.
News date: 16/07/2008