The local council of Mohács, south Hungary, has picked Switzerland's United BioFuels over Sweden's Sekab and another company to build a bioethanol plant in the city, business daily Napi Gazdaság reported on Thursday.
Construction on the plant, which will have capacity of 100,000 cubic meters, will start this year, as soon as all of the necessary permits are acquired, Mohács mayor József Szakó told the paper.
The plant will be completed by the end of 2007 and will employ 80 people. It will require 300,000 tons of maize which will be grown on 40,000 hectares, Szakó said. The plant's capacity could be doubled at a cost of Ft 20 billion by the end of the decade, he added.
The plant's construction is being coordinated by Duna Development Kft, which is jointly owned by the states of Hungary and Austria. Duna Development is also involved in the construction of seven other bioethanol plants in Hungary.