With each harvest, the century-old sugar-energy sector gains an increasingly prominent role in the environmental aspect in Brazil and the world. There is no doubt that the reduction of Greenhouse Gas emissions and the transition of the energy matrix from fossil to renewable sources will necessarily involve the biofuels market. In this aspect, Brazilian ethanol, whether based on sugar cane or corn, will play a fundamental role in leading this movement on a global scale.

According to data from Unica, Brazil produced approximately 607 million tons of sugar cane in the 2022-2023 harvest, which were used to produce 31.2 billion liters of ethanol. This volume is enough to power approximately 624 million compact cars using clean and sustainable biofuel, which emit 90% less carbon dioxide than gasoline.

Currently, Atvos is one of the largest ethanol producers in Brazil and has been undergoing an intense process of transformation in its operations. With investments of the order of 4.6 billion reais by the 2025-2026 harvest, especially on the industry and agricultural fronts, in addition to technology and innovation, the objective is to reach the full crushing of 32 million tons of sugar cane from its eight agro-industrial units installed in the states of Goiás, Mato Grosso, Mato Grosso do Sul and São Paulo. In this way, the company will reach the capacity to produce 2.9 billion liters of ethanol per harvest, increasing the amount produced in previous periods by almost 50%.

But the company hopes to go beyond its current portfolio to consolidate itself as one of the protagonists in the biofuels market. Projects are already being studied to start the production of biomethane, from straw from sugarcane fields and vinasse, a by-product resulting from the production chain widely used in the fertigation process. The idea is that biogas can be used to supply the company's own agricultural fleet, contributing to the replacement of fossil fuels and reducing the environmental impact. Surplus production may be supplied to municipalities located around the operations.

In addition, Atvos should also start producing corn ethanol in the next harvests, taking advantage of the existing infrastructure installed at its current industrial units. Another bet, on a slightly further horizon, is the start of production of Sustainable Aviation Fuel, which presents itself as one of the most intelligent solutions on the market to replace aviation kerosene.

Still in the decarbonization process, we cannot fail to highlight the relevant role that the RenovaBio program plays in the country. Since the creation of the initiative by the federal government in 2017, having come into force in December 2019, more than 100 million Decarbonization Credits have been issued, which means that more than 100 million tons of carbon dioxide equivalent have left to be emitted into the atmosphere.

Today, Atvos It is already one of the largest issuers of securities per harvest, with the capacity to generate more than 2 million credits each cycle. Looking at the long term, with the increase in our productivity rates through the implementation of new technologies in industry and in the field, the growth of our portfolio, and following our commitment to preserving the environment, I have no doubt that we will still have greater participation in this important segment.

Finally, it can be seen that the world's decarbonization process and the search for a better future for humanity pass directly through the biofuels sector. We are increasingly convinced of the role that Brazil will play in this journey towards building a cleaner planet for everyone. And Atvos is more than prepared to be one of the protagonists of this movement on a global scale.