BP, DuPont butanol JV, Butamax, heads for commercialization; BP = “butanol play”? How will Gevo, Cobalt counter?

In Delaware, BP and Dupont announced the commencement of commercialization of their butanol venture, which will be named Butamax Advanced Biofuels. According to the joint venture partners, Butamax Advanced Biofuels was formed to develop biobutanol – an advanced biofuel that will provide improved options for expanding energy supplies and accelerate the move to renewable transportation fuels which lower overall greenhouse gas emissions.”

Butamax combines BP’s expertise in fuels technology, development and infrastructure with DuPont’s leading capabilities in biotechnology, and is located in Wilmington, Delaware.

According to Butamax, “In the near term, the main focus of the new company will be to develop a technology program to produce biobutanol from many different types of feedstocks. In the future, Butamax™ Advanced Biofuels expects to license the technology to produce biobutanol to other biofuel producers. The company will also work with fuel blenders and distributors globally to introduce biobutanol into the fuels market.

Butamax Advanced Biofuels will also work closely with Kingston Research Limited, another joint venture between BP and DuPont. Kingston Research Limited is constructing a biobutanol technology demonstration plant in Hull, UK.

The move comes shortly after BP shut down its alternative energy headquarters in London, and saw BP Alternative Energy head Vivienne Cox step down. The company shut down solar plants in Spd the US in April, and according to tan, BP CEO Tony Hayward has questioned the long term prospects power to reach parity with fossil fuels. Though critics had suggested that BP was backing away from its “Beyond Petroleum” strategy, the Butamax announcement clarifies that BP, like its competitor Shell, has focused its alternative energy strategy on biofuels.

The way towards Butamax was cleared recently with a European Commission approval of the biobutanol JV between BP and  DuPont.  The EC found that the proposed combination would not affect competition in the downstream delivery of gasoline, given BP’s limited downstream position in the EU, or unfairly concentrate the market in biobutanol.

The announcement will shed new light on the prospects for commercial biobutanol, which can be blended with gasoline without requiring infrastructure changes. Biobutanol also has an energy density, and hence fuel economy, far more competitive with gasoline than is the case with ethanol.

Two other US-based ventures are working on butanol-based solutions, Cobalt Biofuels and Gevo. Gevo recently received an investment from oil major Total, while Cobalt Biofuels has raised capital from a high-profile list of venture funds, including Pinnacle Ventures, Vantage Point Venture Partners, Malaysian Life Sciences Capital Fund, @Ventures, LSP and Harris and Harris. Cobalt is raising capital for a demonstration plant, based on a small-scale, community-based funding and feedstock model.

More on Butamax from the company fact sheet, here.

Free Subscription to the Daily Biofuels Digest e-newsletter

Related Stories

Gevo nabs exclusive license to UCLA e.coli technology; will speed up mass production of butanol

In California, Gevo announced it has acquired an exclusive license for use of UCLA’s method for modifying E.coli bacteria, that will improve its ability to mass produce next-gen biofuels such a...

New butanol process unveiled by Washington University research team

In Missouri, researchers have developed a new process for butanol production. The research team at Washington University, led by Lars Angenent, assistant professor of energy, environmental and chemica...

DuPont, BP, report Bu16 blends cause pass engine tests; on track for commercial butanol production by 2010

In England, DuPont and BP announced that test results showed that Bu16, a blend of 16 percent biobutanol and 84 percent gasoline, caused no harm to engines and did not "phase separate" in engine testi...

Washington University advances pilot butanol project with $425,000 USDA grant

In Missouri, researchers at Washington University have received a $425,000 grant from the US Department of Agriculture for a pilot butanol project. The university's International Center for Advanced R...

Biobutanol breakthrough: researchers develop bacterial strain that doubles production

In Ohio, research engineers at Ohio State University, reporting at the American Chemical Society meeting this week, said that they have developed a new strain of the bacterium Clostridium beijerinckii...

Cobalt Biofuels raises $25 million in series C financing for biobutanol commercialization

In California, pioneer biobutanol venture Cobalt Biofuels said that it has completed a $25 million third round of funding. Participants in the round included Pinnacle Ventures, Vantage Point Venture P...