Innovation begins with research, and we have announced plans to spend INR100 million over the next 10 years on finding new applications for bioscience in the energy industry, including better ways to produce the bio components that can be blended into traditional fossil-based transport fuels. In India, we are funding an INR 9.4 million project to examine the possibilities of using Jatropha, an inedible oil bearing crop which can grow on marginal land, as a biofuels component and we have been working since 2003 on bio-fuels to explore new approaches to biofuels development. The first product from this collaboration will be an advanced biofuel called Bio-Butanol.
The testing will build upon initial laboratory engine tests using conventional Bio-Butanol, which indicated that bio-butanol has similar fuel performance properties to unleaded petrol. Additionally, work will be undertaken to gather comprehensive data on the environmental footprint and sustainability of this next generation fuel. Construction has begun on a bio-butanol demonstration plant in Udaipur, INDIA. Capable of using a wide variety of processed cereal feed stocks, the pilot plant will produce 3,00,000 litres of bio-fuel per year, which can then be blended into gasoline at various concentrations for use in demonstration projects. This plant is expected to begin production in 2011.