Minas Gerais commits R$1 billion biometane project for Araxá, Uberaba and region

The Minas Gerais state government, together with Gasmig, GeoMit and the Companhia Mineira de Açúcar e Álcool (CMAA), signed a protocol of intentions to launch a R$1 billion biometane initiative. The project will build a plant at the Vale do Tijuco facility, capable of producing 50,000 cubic metres of renewable gas per day from sugar‑cane waste, with commercial operations slated for May 2028.

The investment will finance the expansion of gas distribution infrastructure to supply the Triângulo Mineiro and Alto Paranaíba municipalities, including Araxá, Uberaba, Uberlândia and Indianópolis. Officials highlighted that biometane can replace natural gas in industrial processes, lower production costs, improve regional competitiveness and reduce load on the conventional electricity grid. A municipal demand‑mapping effort will guide the rollout of the new fuel supply.

The initiative is presented as a milestone for clean‑energy transition in the region, aiming to create a stable, locally sourced fuel source for industry and future residential development.