Petron is engaged in development of global projects on a joint venture basis. Petron brings financial partners to joint ventures that enable a lower cost of capital than many partners can get independently. Petron takes equity positions in these Joint Ventures (JV) on a case-by-case basis, depending on our technology contribution, the overall capital structure, and long-term off-take partners in the JV. Petron has established a holding company bioChem International BV in Netherlands to manage our JV interests in Europe, Asia, Africa, and Australia. Joint Ventures in North, Central, and South America are directly handled by Petron in USA.
Petron's bio-products joint venture in Heyang China, established in 2012, produces distiller's dry grain solids-DDGS (protein meal), corn oil, organic fertilizer and balance corn cellulose. The corn cellulose is converted to 120,000 tons (40 million gallons) of high quality bioEthanol per year. These products are sold in Chinese markets and generate over US $100 million in sales. The Heyang JV is being expanded into downstream products such as bioEthylene Oxide and Glycols.