Europe set for biodiesel boom - Goldman Sachs

[jpak]

http://today.reuters.co.uk/news/articlebusiness.aspx?type=businessNews&storyID=2006-10-30T165355Z_01_L3028769_RTRUKOC_0_UK-ENERGY-EUROPE-BIOFUELS.xml

LONDON (Reuters) - Europe's market for biodiesel is expected to more than double in value to about eight billion euros (5.35 billion pounds) a year by 2010, investment bank Goldman Sachs (GS.N: Quote, Profile, Research) said on Monday.

Concerns about the security of oil supplies and climate change will drive output of the clean fuel up 35 percent by 2010 as companies spend up to three billion euros on production facilities, the bank said in a research note.

"We believe biofuels are here to stay as they represent a road to a cleaner transport sector that currently lacks significant alternatives," Goldman Sach said.

Biodiesel, the main market for which is Europe, is a clean fuel additive made mainly from vegetable oils.

<more>