Iogen to abandon Idaho, heads for Saskatchewan for cellulosic ethanol on sweeter Canadian incentive offer

In Canada, Iogen said that would suspend development in the state of Idaho and build its 23 Mgy cellulosic ethanol plant in Saskatchewan, after the Canadian officials put together a $500 million incentive package for ethanol projects, although it was not disclosed how much would be steered to Iogen. The US Department of Energy had offered $80 million in loan guarantees for the $350 million project. Iogen is backed by Shell, Petro Canada and Goldman Sachs.

Iogen execs said that they hoped to launch the 23 Mgy plant north of Saskatoon by 2011, using wheat straw and other cellulose as feedstock.

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