Brazilian company Uniduto Logistica will begin building the first phase of a major Brazilian ethanol pipeline in April 2010, with operations due for 2011-2012.
The pipeline will run from Brazil's main sugarcane-producing region in Sao Paulo state to the port of Santos.
The first phase has a budget of 1.8 billion reais (603 million) to build 600km of pipeline.
Uniduto was created jointly by 12 groups including Cosan S Industria e Comercio, Copersucar, Sao Martinho and Crystalsev to develop, build and operate an alcohol transportation system by ducts.
Brazil is the world's largest sugar and sugarcane-based ethanol producer.