A hub for biobased chemicals firms in Sarnia, Ontario, will grow by two companies working to scale up their manufacturing processes. California-based start-up Origin Materials will build a demonstration facility at the hub to make p-xylene, a precursor for polyethylene terephthalate (PET), from lignocellulosic biomass. Origin earlier partnered with Nestlé Waters and Danone to develop 100% biobased PET beverage bottles. Meanwhile, S2G BioChem will build a demonstration plant to make 2,000 metric tons per year of xylitol, propylene glycol, and ethylene glycol from sugar. Xylitol is a sugar alcohol that is used as a low-calorie sweetener. Bioindustrial Innovation Canada will provide undisclosed funding for the S2G project. Both firms expect to construct their facilities in 2018. The Sarnia hub is already home to succinic acid maker BioAmber. Comet Biorefining plans to open a cellulosic dextrose plant there in 2018.