Shengquan Group, Novozymes sign pact; Shengquan to start commercial cellulosic ethanol proeuction in June

In China, Shengquan Group announced it will start commercial production of cellulosic ethanol for solvents and biochemicals in June 2012 utilizing enabling technology from Novozymes. Shengquan is a leading producer of furfural using xylose in corncobs, a monomer for resin production in the foundry industry.

Using Novozymes enzymes, Shengquan will now convert corncob residues from furfural production into fermentable sugars and then into ethanol for solvents and other purposes. Shengquan’s cost model shows that its current production cost of cellulosic ethanol is cost-competitive with conventional ethanol as the feedstock is a by-product of their current production.

Overall, the Chinese government plans for the country to consume 5 million tons of ethanol between 2011 and 2015—known as the 12th five-year plan—which is nearly double that used during the previous five year period. The government plans to make biofuels a priority, with previous efforts restrained by a lack of raw materials.