Corden BioChem GmbH has resumed production at a bioethanol facility in Podari, Romania, previously owned by Swiss specialty chemicals company Clariant. Corden BioChem, a contract manufacturer of fermentation-based products, is a subsidiary of the International Chemical Investors Group (ICIG), a privately owned industrial group focused on chemicals and pharmaceuticals.
Clariant originally developed the Podari plant as a second-generation (2G) bioethanol facility, designed to process 250,000 tonnes of straw annually into 50,000 tonnes of cellulosic ethanol using its proprietary sunliquid® technology. Construction was completed in October 2021, with production beginning in the second quarter of 2022. The project represented an investment of over EUR 100 million (USD 106 million), supplemented by EUR 40 million (USD 42 million) in funding from the European Union under the Bio-Based Industries Joint Undertaking (BBI).
However, the plant struggled to meet its operational targets. In December 2022, Clariant recorded an impairment of CHF 225 million (USD 242 million) against the facility, citing the challenges of industrialising the new technology and its impact on financial assumptions. Clariant CEO Conrad Keijzer noted at the time that Clariant would continue efforts to achieve commercial viability, despite the write-down.
Facing continued operational difficulties and the prospect of significant additional capital expenditure, Clariant decided to cease operations at the Podari plant in December 2023.
In July 2024, ICIG acquired the decommissioned facility for EUR 9.7 million (USD 10.48 million) in cash. Corden BioChem, as part of ICIG, plans to repurpose the existing infrastructure to produce first-generation (1G) bioethanol. The company will use locally sourced raw materials such as molasses and starch, targeting an initial production capacity of several tens of thousands of tonnes per year.
Beyond restarting production, Corden BioChem has announced plans for further investment to diversify the plant’s output. These developments are expected to involve capital expenditure of several tens of millions of euros and could create more than 100 specialised jobs, contributing to local economic growth.
The revival of the Podari plant marks a significant step for Romania’s bioethanol sector, as Corden BioChem aims to leverage existing assets and local feedstocks to meet the rising demand for renewable fuels.
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