ZeaChem raises $25M, finishes construction at Boardman biorefinery

$25 million Series C closes with new investors ITOCHU Corp. and Macquarie

In Oregon, ZeaChem announced at Advanced Biofuels Markets that it has completed construction of its 250,000 gallons per year cellulosic ethanol biorefinery in Boardman. The project was completed on budget and is expected to begin production of cellulosic ethanol by the end of 2012.

ZeaChem’s core process, completed earlier this year, enables the production of acetic acid and ethyl acetate which are intermediate chemicals for applications including paints, lacquers and consumer goods representing a $10 billion market worldwide. The core process has been commissioned and fermentation of sugar feedstocks has been replicated in 40,000 gallon tanks.  These results met and exceeded the company’s design targets.

The next step in ZeaChem’s phased development and start-up approach is to begin operations of the integrated facility for cellulosic ethanol production. With the support of a $25 million investment from the U.S. Department of Energy’s Integrated Biorefinery program, ZeaChem has added process components to the core facility enabling the utilization of locally-sourced biomass, including wood and wheat straw, to be fermented and converted into intermediate chemicals and ethanol.

“With construction completed, ZeaChem looks forward to starting integrated operations and the pro