French bio-fuels maker Global Bioenergies stutters on low crude oil

Global Bioenergies, an unprofitable French maker of sugar-based petrol, said crude oil’s recent slump to $35 a barrel is testing the financial viability of its technology even as it plans expansion in the US.

“The economic case doesn’t stand with oil at $35, except when there’s a tax incentive” as in various European countries and the US, chief executive Marc Delcourt said.

Without tax breaks, the company would need Brent crude well above $100 a barrel, he said.