Global agribusiness giant Bunge and US multinational energy corporation Chevron have acquired Argentine seed firm Chacraservicios from Italian energy company Adamant Group.

Founded in 2003, Chacraservicios – later bought by the Adamant Group in 2019 – cultivates Camelina sativa, a cover crop with a high oil content.

Traditionally used for paint and soap production, the oil is also used in human and animal nutrition and in biofuel production.

According to its website, Chacraservicios currently has its own plant for the extraction of camelina oil in Pigue, headquarters in Buenos Aires and a seed processing and storage plant in Pergamino, a province of Buenos Aires.

The acquisition of Chacraservicios added a new oil source to Bunge and Chevron’s global supply chains and would help meet growing demand for lower carbon renewable feedstocks, the companies said on 5 July.

The companies did not disclose terms of the transaction.

“Investing in this new oilseed crop is another step towards our goal of expanding lower carbon intensity feedstocks to help meet the growing demand for renewable fuels,” Bunge’s vice president, Carbon Solutions, Fernando Candia said.

Following the acquisition, the companies said they would continue exploring opportunities to develop renewable fuels.

“Opportunities like this are helping Chevron expand our portfolio of affordable, reliable and lower carbon fuels,” Natalie Merrill, senior vice president for business development with Chevron Renewable Energy Group, said.

Bunge said it planned to provide Chacraservicios with crush tolling and management services