DDCE picks Iowa over Nebraska for cellulosic ethanol demonstration

January 14, 2011 |

In Iowa, the Iowa Power Fund Board has  approved terms today to start contract negotiations on a grant award for one of the first in the nation, alternative energy projects to produce cellulosic ethanol in Iowa by the DuPont Danisco Cellulosic Ethanol.   With the terms approved, a final contract will be negotiated and could be approved as early as February’s Board meeting.   The terms call for a $9 million grant from the Iowa Power Fund, combined with over $226 million in matching funds by DDCE, for a total project cost of over $235 million.   The biorefinery will be capable of producing 25 million gallons of cellulosic ethanol per year, using corn stover as a feedstock.

DDCE told the Digest, “DDCE announced some time ago that it plans to build a biorefinery for conversion of corn stover to fuel in the U.S. Midwest. With the approval of Iowa incentives, it has become public that DDCE is moving toward locating the plant in Iowa.

“State incentives were among many other criteria, such as feedstock availability, rail access, workforce, among other things.  We evaluated several sites and had narrowed it down to Iowa and Nebraska, which were both attractive on all of these fronts. It was a difficult decision, but at this point we plan on Iowa for this first commercial facility. Nebraska remains an attractive choice for future projects in cellulosic ethanol. We are still evaluating several sites within Iowa.”

More on the story.

Category: Fuels

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