CropEnergies AG said its UK subsidiary EnsusUK has stopped production at its ethanol plant due to the decline in the price of oil, which has affected ethanol prices.
The devaluation of the Euro compared to the British pound was also a contributory factor, CropEnergies said. “The drawn-out political process in the EU to also increase the percentage of renewable energies in the transport sector compared to today is not conductive either,” the company said in a statement.
“The production facility was brought off line a few days ago for cleaning and inspection. CropEnergies’ other plants in Germany, Belgium and France are running at high capacity utilization despite the difficult market conditions and thus prove their leading technological position and competitiveness.”
CropEnergies said that once prices stabilise, it plans to restart the plant. “The possibility of recommissioning will be continuously reviewed against the backdrop of upcoming policy decisions,” it added.
CropEnergies had acquired Ensus in July 2013. Ensus’ plant in the northeast of England has an annual capacity of 400,000 cubic metres of ethanol and 350,000 tonnes of dried protein animal feed. The ethanol plant was commissioned at the beginning of 2010.