Business World Online
http://www.bworldonline.com/BW091208/content.php?id=044
Friday, September 12, 2008
Manila, Philippines

LISTED- Chemrez Technologies, Inc. is looking at P2 billion in additional sales once the 2% biodiesel blending requirement takes effect next year.

The law mandates a 2% blend of coco methyl ester in regular diesel from 1% by February.

Chemrez Technologies Chief operating Officer Dean A. Lao, Jr. told reporters yesterday the company expects to gain P2 billion from this requirement.

"Assuming existing market share, the implementation [of the law] will push our revenues by an additional P2 billion, which is already a reasonable assumption," he said. Chemrez has a 33% market share.

Chemrez earlier said its net profit had gone up by more than a third in the first half, driven mainly by biodiesel sales to oil companies.

Mr. Lao said the government is firming up biodiesel standards in preparation for stricter blending requirements.

Yesterday, the Energy department met with the industry to discuss specifications of the blend.