Chemrec Grant Application for Full-scale Black Liquor to Fuel Plant Passes Hurdle
26 June 2009
The Energy R&D Board of the Swedish Energy Agency has selected an investment grant application from Chemrec for further consideration. The SEK 500 million ($64 million, €45 million) grant application is for an industrial scale production plant for renewable automotive fuel from biomass through gasification of black liquor.
Planned location for the plant is the Domsjö biorefinery complex in Örnsköldsvik, Sweden.
The Chemrec technology has the potential to both substantially contribute to reduced carbon dioxide emissions from road transports and to secure the competitiveness and jobs of the forest industry sector, says Chemrec COO Jonas Rudberg.
Fully implemented, the technology could globally reduce fossil origin carbon dioxide emissions by more than 90 million tons annually and replace about 30 million tons (about 9 billion gallons) of fossil-origin diesel fuel with renewable fuel, Chemrec says.
Planned production in this full-scale Chemrec plant is about 100,000 metric tons second-generation renewable automotive fuels BioDME and Biomethanol produced from gasified black liquor from pulp mills. It will reduce fossil carbon dioxide emissions by about 250,000 metric tons per year.
The investment grant would enable the transition from pilot to full industrial scale, The total project cost is SEK 2800 million ($350 million, €250 million). Estimated project completion is late 2012.
Chemrec been operating a black liquor gasification pilot plant in Piteå in northern Sweden since 2005.
Canada's Fed Government $1B CAN recent conditional assistance program to the wood-paper industries mandated a similar approach with regards to black liqour by-products.
Wonder if both countries should joint their efforts to reduce cost and avoid costly duplications?
Posted by: HarveyD | 26 June 2009 at 03:07 PM