Novozymes And Lignol Energy Sign Biofuel R&D Pact

   DOW JONES NEWSWIRES 
 

Novozymes and Lignol Energy, Tuesday signed a research and development agreement to make biofuel from wood chips and other forestry residues.

 
   MAIN FACTS: 

-The partners aim to develop a process for making biofuel from forestry waste at a production cost down to $2 per gallon, a price competitive with gasoline and corn ethanol at the current US market prices.

-"Novozymes' goal is to enable commercial production of cellulosic biofuel from a wide range of feedstocks," says Claus Crone Fuglsang, Senior Director of BioEnergy R&D in Novozymes.

-The parties plan to use Lignol's industrial pilot plant in Burnaby, British Columbia, Canada to optimize both Lignol's process and Novozymes' enzymes on different types of forestry waste.

-Later, Lignol plans to construct large-scale biorefineries for the production of cellulosic biofuel from wood chips and forestry residues.

-The agreement between Lignol and Novozymes formalizes a Memorandum of Understanding between the partners from February 2010.

-By Stockholm Bureau, Dow Jones Newswires; [phone]; [e-mail]