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Royal Dutch Shell has bought a minority stake in Choren Industries

Financial Times: Investment made in biofuels

“Royal Dutch Shell has bought a minority stake in Choren Industries, a German company that plans to turn wood chips into tar-free biofuel for use in cars.”

Thursday 18 August 2005

By Rebecca Bream
Published: August 18 2005

Royal Dutch Shell has bought a minority stake in Choren Industries, a German company that plans to turn wood chips into tar-freebiofuel for use in cars.

Shell would not disclose how much it had invested in Choren, which proposes to build a €50m (£34m) biofuel plant in Freiberg, eastern Germany. But it is understood that Shell’s stake in the private company is less than 25 per cent.

Choren plans to produce 15,000 tonnes of biofuel a year. It is marketing the product as SunFuel to petrol retailers and motorists.

Shell said the plant, which could be in production as early as 2007, would be the world’s first commercial facility for the conversion of biomass such as wood chips and straw into high-quality synthetic biofuel.

It said: “SunFuel is supported by car makers such as Volkswagen and DaimlerChrysler because it can be used without modification in any diesel engine without compromising performance and with a substantial reduction in harmful emissions.”

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