Sept. 3 (Bloomberg) — A joint venture of Poet LLC and
Royal DSM NV opened a cellulosic-ethanol plant in Iowa with
capacity to produce 20 million gallons (76 million liters) of
fuel a year.
The Project Liberty facility in Emmetsburg, which received
a $105 million loan guarantee from the U.S. Energy Department in
2011, may eventually expand production to 25 million gallons a
year, Poet-DSM Advanced Biofuels LLC said today in a statement.
The plant produces fuel from corn cobs, husks and stalks,
unlike standard ethanol that’s made from the edible parts of the
plant. It’s an alternative to fossil fuels and won’t have to
compete for feedstock with companies that sell corn for food.
“Some have called cellulosic ethanol a ‘fantasy fuel,’ but
today it becomes a reality,” Poet’s Chairman Jeff Broin said in
the statement. The venture may may generate $250 million by 2020
through selling the fuel and licensing the technology.
To contact the reporter on this story:
Justin Doom in New York at
jdoom1@bloomberg.net
To contact the editors responsible for this story:
Reed Landberg at
landberg@bloomberg.net
Will Wade, Robin Saponar