History of the Group

Sniace, S.A. was founded on December 1, 1939 with business address in Madrid, its industrial quarters and administrative offices in Torrelavega (Cantabria) and a sales department office in Barcelona.

The viscose factory started its production in 1946 whereas the cellulose factory started its production in 1950. Both were extended up to their current capacity in 1983 and 1984. The group’s coal-fired power station started functioning in 1985.

In 1986 it reached an agreement with the Norwegian Group Borregaard to build the Lignotech Iberica partnership, specialized in the sale of lignin sulphate to different applications and sectors.

In May 1989 the partnership Bosques de Cantabria (BOSCAN) was constituted, with the aim to provide several services to the Sniace forest patrimony, including the tasks of reforestation, preservation, improvement, use and fire prevention and fighting.

In 1996, Bosques 2000 was founded; a company that belongs to the Sniace group’s forestry division, with the aim of creating a team for the investigation and development of the genetic and forestry fields.

The Sniace Group started to expand towards the renewable energy sector in 1999. The group’s two main goals at the time were the construction of a cogeneration plant to allow a reduction of the industrial complex energy costs and the use of coal as a power source, and the development of a project to produce bioethanol within the factory grounds in Torrelavega.

In 2001 the group finished the construction of an 80 MWh cogeneration plant. A plant that would increase the group’s capacity up to 100 MWh and would allow selling the energy surplus to the net.

In 2004 Sniace reaches an agreement with Cantabria Capital, a company shared by
the Santander Bank and Cantabria’s Government, to build and operate a bioethanol production plant that would produce 100,000 tones of bioethanol a year.

In October 2005 Sniace Biofuels awarded the Elecnor Group and the Austrian technologist Voglbusch the construction of the bioethanol plant in Torrelavega. The proceedings to obtain the necessary licenses for its construction started in February 2006 and are currently pending the signature of the Ministry of the Environment after long and complex procedures that involve Torrelavega’s Town Hall and different Organs and Ministries of Cantabria’s Government.

In February 2006, Green Source signed an agreement with the Polish group EastBridge to build a bioethanol plant in Poland. The plant with a production capacity for 200,000 tones a year is the largest plant developed by the Group in Europe.

In June 2006 the Group, through its affiliate Green Source that is in charge of all the biofuel projects, reaches an agreement with the Iberdrola Group and the Ecoteo company that includes the Agrarian Cooperative Teo to build a second bioethanol plant in Spain with a production capacity for 120,000 tones a year. The project is currently in the process of obtaining the Integrated Environmental Authorization.

In December 2007 Green Source Poland awarded the TSK group and the Indian technologist Praj Industries the construction of its plant, starting the proceedings to obtain the necessary licenses for the construction of the bioethanol plant.

In December 2007, Green Source signed a Memorandum of Understanding with the Brazilian group EthanoPar for the construction and operation of a bioethanol plant in Brazil, whose raw material will be sugar cane.