France's Orbeo, a joint-venture between Rhodia and Societe Generale, is set to develop a carbon emissions reduction cogeneration project using biomass in Mexico.
Orbeo will link up with a sugar producer to develop the project, which is located in the Tres Valles area of Veracruz.
The new cogeneration unit will use bagasse, a by-product of sugar cane, to produce heat and electricity. The unit will have a total installed capacity of around 40 MW.
The company estimates that the project will cut carbon dioxide emissions by 572,500 tonnes between 2012 and 2021.
Grupo Piasa will supply the cogeneration unit with all bagasse and other sugar cane solid waste, with part of the electricity generated by the unit will be used on site, with the rest will be exported.
Orbeo will manage the project's registration to qualify for carbon credits under the United Nation's Clean Development Mechanism (CDM) and will buy all of the pre and post-2012 certified emission reductions generated from the project.
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