COPENHAGEN, March 18 Danish food ingredients and
enzymes maker Danisco DCO.CO "agrees fundamentally" with rival
enzymes producer Novozymes' view of the costs of producing
second-generation bioethanol, Danisco's chief executive said.
Novozymes (NZYMb.CO) and Danisco last month launched new
enzymes for producing second-generation biofuels -- fuels made
from plant waste rather than food crops -- and Novozymes said
then that fuel production costs could be less than $2 per
Novozymes also said in mid-February that enzyme costs for
cellulosic ethanol are now down to $0.50 per gallon.
"We are talking about the $2 range -- 50 cents on enzymes
costs," Danisco Chief Executive Tom Knutzen told analysts in a
conference call on the group's third-quarter results.
"We are basically saying what another big industry player is
also saying, and we fundamentally agree," he said in response to
a question about what he thought of Novozymes' view of
second-generation bioethanol production costs.
Knutzen said that Danisco enjoyed a competitive advantage in
the business through its joint venture with Dupont (DD.N) in
helping keep down capital costs of building plants for
"So at least we have the feeling that we are certainly on
par and with a likelihood that we are ahead to come up with the
best commercial offering to the market before too long," he
(Reporting by John Acher)