The plant located in Manjuyod town in Negros Oriental is expected to begin operations in March 2014.
The plant will produce ethanol from take blackstrap molasses, which is a by-product of sugar.
Commenting on the developments, Universal Robina Sugar Milling general manager Renato Cabati told Manilastandardtoday.com that the plant would have a production capacity of 100,000 liters per day, or 30 million liters of ethanol fuel per year.
The move from the company comes on the back of bioethanol program launched by Energy Department in the Philippines mandating the usage of ethanol blended blending gasoline.
Cabati added that the mandatory usage of ethanol blended fuel would reduce annual petroleum import of 536 million liters in the country and save $404m.
