SAO PAULO — JBS SA announced on July 31 that it plans to invest 180 million reals ($47.5 million) to build a biodiesel facility that will be in service by 2021.

Plant operation will be run by JBS Biodiesel, a JBS Novos Negócios division. The plant will use pork fat and poultry scraps as raw material for biodiesel. Seara Alimentos, a subsidiary of JBS, made an investment into the project as well.

The new facility, located in the Santa Catarina state, will more than double the biodiesel production in Brazil to 600 million liters every year.

"Based on the RenovaBio program, when B15 takes effect in 2023, diesel will have to contain 15 percent biodiesel," Alexandre Pereira, JBS Biodiesel director, said in a statement.

JBS said the facility will cover 76,000 sq. m. and produce 900 tons of fuel per day. It is also expected to create 400 jobs.

Two JBS biodiesel plants run on bovine fat already operate in Brazil.