With R$ 17.2 million, Equinor expands strategic sugarcane biomethane project and boosts innovation that can convert Brazil's agricultural potential into a new source of high economic value renewable energy.

With R$ 17.2 million, Equinor expands strategic sugarcane biomethane project and boosts innovation that can convert Brazil’s agricultural potential into a new source of high economic value renewable energy.

Written by Hilton Libório

Published on 02/06/2026 at 09:20

Updated on 02/06/2026 at 09:21

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Equinor invests R$ 17.2 million to develop sugarcane biogas, transforming ethanol waste into renewable energy and value for agribusiness.

Equinor announced an investment of R$ 17.2 million in a new biogas project aimed at utilizing sugarcane waste generated by the ethanol industry in the Southeast Region of Brazil. The initiative, named Res2Bio, will also receive R$ 9.2 million from the Brazilian Company of Research and Industrial Innovation (Embrapii), totaling R$ 26.4 million allocated to research over 42 months.

According to information from Canal Rural on May 28, 2026, the goal is to assess the potential of sugarcane biogas produced from by-products such as bagasse, straw, and vinasse, expanding the energy use of these materials and strengthening the production of renewable energy. The project brings together prominent institutions in Brazil and abroad, reinforcing the growing interest in sustainable solutions capable of reducing emissions and generating new economic opportunities for agribusiness.

Equinor bets on sugarcane waste to expand renewable energy production

The new move by Equinor demonstrates how the energy sector is increasingly attentive to the opportunities offered by the bioeconomy. Instead of focusing solely on traditional fuel production, the company intends to explore the potential of waste already generated by the sugar-energy chain.

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Res2Bio biogas project brings together universities and reference research centers

The Res2Bio includes participation from the São Paulo Center for Studies in Biogas and Bioproducts (CP2B), affiliated with Unicamp, and the National Laboratory of Biorenewables (LNBR), which is part of the National Center for Research in Energy and Materials (CNPEM).

The initiative will also have international collaboration from researchers at Aalborg University in Denmark, the Norwegian University of Life Sciences (NMBU), and the Norwegian Institute of Bioeconomy Research (NIBIO).

This combination of experts aims to accelerate the development of technologies capable of increasing the efficiency of biogas production and, subsequently, sugarcane biomethane, using scientific knowledge from different regions of the world.

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How Equinor’s R$ 26.4 million investment will be applied over 42 months

The total investment of R$ 26.4 million will be directed towards research focused on the energy utilization of waste generated by ethanol production.

Among the main points to be analyzed are:

Methods of pre-treatment of waste;
Combination of different raw materials;
Increase in biogas production;
Technologies for gas purification;
Separation of methane to meet commercial standards.

Researchers will also evaluate which strategies show the best technical and economic performance for future industrial-scale applications.

As it is a Research, Development, and Innovation (R&D&I) project, the studies are still in the initial phase and there are no definitive estimates on future production capacity.

Sugarcane biomethane can transform waste into a new source of economic value

The Brazilian sugar-energy industry generates large volumes of waste every year. Bagasse, straw, and vinasse are part of the routine of plants and already have different applications, but there is still room to expand their use.

In this scenario, sugarcane biomethane emerges as an alternative capable of adding value to materials that are already part of the production process. Instead of being treated only as by-products, these wastes can become raw materials for renewable fuels.

This model contributes to the so-called circular economy, where resources are reused more efficiently, reducing waste and creating new business opportunities.

Renewable energy gains ground in the global decarbonization strategy

The growing demand for low-emission fuels has driven similar projects in different countries. Sugarcane biomethane is considered a promising solution because it can be used in various applications without requiring major changes to existing infrastructure.

In practice, this means that the fuel can serve sectors such as:

Heavy transport;
Industry;
Power generation;
Gas distribution.

This compatibility facilitates its adoption and increases the potential for expansion of renewable energy in the Brazilian market.

Furthermore, the production of biomethane can contribute to reducing emissions associated with the natural decomposition of organic waste, turning an environmental liability into an energy resource.

Andrea Achoa highlights the strategic potential of Equinor’s initiative

According to information released by the company itself, Andrea Achoa, Director of Research, Development, and Innovation at Equinor, highlighted the importance of the project for generating scientific knowledge and developing applicable solutions to the energy sector.

The executive also emphasized the potential of utilizing organic waste as a way to generate environmental and economic benefits. The assessment aligns with the company’s global strategy to support initiatives related to energy transition and the development of low-carbon technologies.

The company’s participation in such projects reinforces Brazil’s relevance within the international bioenergy scenario.

Brazilian agribusiness may gain a new growth front

Brazil holds a prominent global position in the production of sugarcane and ethanol. Therefore, any technological advancement related to the utilization of waste from this production chain has the potential to generate significant impacts.

The biomethane project could indicate ways to increase the profitability of plants and enhance the integration between agriculture, industry, and energy generation. If technical feasibility is proven, new business opportunities may arise around the production of renewable fuel.

This scenario tends to further strengthen the role of Brazilian agribusiness within the global energy transition, especially at a time when various countries are seeking alternatives to reduce dependence on fossil fuels.

What the coming years may reveal about the potential of biomethane

The results obtained over the 42 months of research will be crucial to determine the potential for technology expansion. The work should show which residues perform best, which processes are most efficient, and which models have the greatest economic viability.

Although it is still early to estimate commercial production volumes, the project represents an important step for the development of sugarcane biomethane in Brazil.

With the support of Equinor, Embrapii, Unicamp, CNPEM, and international institutions, the initiative can contribute to transforming agricultural residues into a strategic source of renewable energy, adding value to the sugar-energy chain and strengthening the country’s position in the global bioenergy market.

With information from Canal Rural.

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With R$ 17.2 million, Equinor expands strategic sugarcane biomethane project and boosts innovation that can convert Brazil’s agricultural potential into a new source of high economic value renewable energy.

Equinor invests R$ 17.2 million to develop sugarcane biogas, transforming ethanol waste into renewable energy and value for agribusiness.

Equinor bets on sugarcane waste to expand renewable energy production

Res2Bio biogas project brings together universities and reference research centers

How Equinor’s R$ 26.4 million investment will be applied over 42 months

Sugarcane biomethane can transform waste into a new source of economic value

Renewable energy gains ground in the global decarbonization strategy

Andrea Achoa highlights the strategic potential of Equinor’s initiative

Brazilian agribusiness may gain a new growth front

What the coming years may reveal about the potential of biomethane

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With R$ 17.2 million, Equinor expands strategic sugarcane biomethane project and boosts innovation that can convert Brazil’s agricultural potential into a new source of high economic value renewable energy.

Equinor invests R$ 17.2 million to develop sugarcane biogas, transforming ethanol waste into renewable energy and value for agribusiness.

Equinor bets on sugarcane waste to expand renewable energy production

Res2Bio biogas project brings together universities and reference research centers

How Equinor’s R$ 26.4 million investment will be applied over 42 months

Sugarcane biomethane can transform waste into a new source of economic value

Renewable energy gains ground in the global decarbonization strategy

Andrea Achoa highlights the strategic potential of Equinor’s initiative

Brazilian agribusiness may gain a new growth front

What the coming years may reveal about the potential of biomethane

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Brazil will harvest a record crop of up to 357 million tons of grains, but it does not have the capacity to store a large part of it. The storage deficit has reached the highest level in history and is equivalent to almost the entire production of Argentina.

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