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U.S. Guarantees Loans For Cellulosic Fuels

by Michael McCoy
January 30, 2012 | A version of this story appeared in Volume 90, Issue 5

USDA will guarantee a $233 million loan to ZeaChem, which is building a cellulosic fuels and chemicals plant in Boardman, Ore. The 25 million-gal-per-year facility, which will consume farmed trees and other biomass, is set to open later this year. USDA has also offered a $25 million loan guarantee to Fiberight, which plans to build a $60 million cellulosic ethanol plant in Blairstown, Iowa. Slated to open in the first half of 2013, the facility will convert municipal garbage into 6 million gal of ethanol annually. Separately, Fiberight will start producing ethanol in Lawrenceville, Va., later this year.

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