Another big ethanol deal is under way in Brazil

Major fuel companies are continuing to work on partnerships in Brazil to produce ethanol. Following the recent announcement that Shell and Cosan are in negociations to form a joint venture, ETH Bioenergy, a large Brazilian producer in the country, has just announced it was acquiring its rival Brenco. The merger of the two companies operations is to create one of the world’s largest renewable fuel makers, with capacity to produce 3 billion liters of the biofuel  and 2,700 gigawatts of electricity by 2012. Other big-name companies have announced plans to build pipelines to transport ethanol. Petrobras, the Brazilian oil producer, formed a corporation with Japan´s Mitsui Co. and real estate developer Camargo Correa S.A. This month, Uniduto, a Brazilian pipeline developer, planned to start a campaign to raise $1 billion for a proposed pipeline.