Solazyme Jumps on Bunge Biofuel Deal in Brazil: Sao Paulo Mover
Solazyme Inc. (SZYM), which develops oil products from genetically modified algae, rose the most in more than four months after announcing a joint venture with Bunge Ltd. (BG) to build a plant in Brazil.
Solazyme climbed 11 percent to $15.93 at 11:11 a.m. in New York. Earlier the shares gained 14 percent, the most intraday since Nov. 16.
The facility will be capable of producing 100,000 metric tons of oil a year and be built next to Bunge’s Moema sugar-cane mill, the two companies said in a statement today. It will begin operating in the second half of 2013 and costs, which weren’t disclosed, will be split between the companies.
The plant will use Bunge’s sugar-cane supply and technology developed by South San Francisco, California-based Solazyme to produce oil that may be sold to the fuel and chemicals industries, according to the statement.
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