US DoE to fund cellulosic ethanol plant

The US Department of Energy (DoE) has backed the creation of a cellulosic ethanol project to be located in Highlands County, Florida, by selecting it
to enter the due diligence phase of its Title XVII Loan Guarantee Programme.

The project, co-owned by next-generation cellulosic ethanol developer Verenium Corporation and international energy company BP, is entitled to a loan guarantee from the DoE would support debt funding for first commercial-scale cellulosic ethanol plant, covering up to 80% of eligible costs.

'We believe this signals an important endorsement of our cellulosic process technology and a strong show of support for the advancement of next-generation biofuels,' said Carlos A. Riva, president and CEO at Verenium.

The Highlands project is scheduled to break ground in 2010.