LONDON - Biofuels Corp plc. said on Friday its plant to produce biodiesel from vegetable oils, the largest in Britain, reached 58 percent capacity this month.
The plant on Teesside in northeast England was officially opened on Friday by British Prime Minister Tony Blair.
The plant will eventually have the capacity to produce at least 250,000 tonnes of biodiesel each year from vegetable oils.
The company had previously announced construction delays and cost overruns at the facility and its stock has lost about 40 percent of its value during the last couple of months.
Biofuels Corp shares were trading at 1.24 pounds at 1245 GMT on Friday, up 7 pence or 6 percent but far below its peak of 3.22 pounds reached in March 2005.
Biofuels, which can be substituted for conventional fossil fuels, are seen as a way to reduce emissions of greenhouse gases which are believed to contribute to global warming.
Britain has set a goal that five percent of all motor fuel sold must come from renewable sources by 2010.
The target, set in November 2005, required a 20-fold increase in biofuels use and several companies are in the process of building or have unveiled plans to build new plants in Britain.
REUTERS NEWS SERVICE
