Bioenergy

$84 Million for the First Tires-to-Ethanol Facility

Startech Environmental Corp. and Future Fuels (FFI) have formed an alliance agreement to mutually obtain contracts for waste-to-ethanol facilities and specifically for FFI’s own $84 million Waste-to-Ethanol Facility to be constructed in Toms River, New Jersey. It is said to be the first of its kind.

Startech also received the Letter of Intent from FFI for FFI’s purchase of a 100 ton-per-day Startech Plasma Converter System (PCS) for installation in the Waste-to-Ethanol Facility in Toms River, scheduled to go online in late 2007. Plans call for the Toms River Facility expansion to include a series of additional Startech PCSs. The PCS will safely and completely destroy the tires in its process that results in a clean synthesis gas product called Plasma Converted Gas (PCG). The PCS will be attached to the front of the FFI system. PCG produced will be piped directly into the FFI system to make commercial fuel-grade ethanol for sale, the release states. “We welcome partnering with Startech to fuse their expertise and commercial experience in plasma processing technology with FFI’s unique business model to convert abundant waste feedstocks into ethanol,” said Jack Young, President of FFI. Startech President Joseph F. Longo said “An important fact sometimes overlooked is that waste is an inexhaustible, renewable, ever-recurring resource.” “Where Startech provides front-end technology to transform a variety of waste products into syngas,” Young said, “FFI provides the back-end catalytic process to convert that syngas into useful products such as ethanol, higher alcohol fuels and synthetic fuels, like diesel, gasoline and kerosene (jet fuel). The Strategic Alliance between FFI and Startech will open more doors into the U.S. ethanol market for both companies as well as to customers in Europe, Asia and South America where Startech currently has initiatives under way,” he said. The New Jersey Economic Development Authority announced that the resolution for the preliminary approval of $84 million tax-exempt bond financing for FFI has been fully executed and officially adopted by the State of New Jersey. The tax-exempt bonds will be used for the design, construction and startup of the anticipated 52 million gallon-per-year waste-to-ethanol production facility scheduled for Toms River. The official resolution approval enables FFI to proceed with the bond rating, underwriting, and the placement process to secure the funds. Future Fuels, Inc., a subsidiary of Nuclear Solutions, Inc. of Washington, DC, is implementing its proprietary technology and process to convert low-end carbonaceous waste materials (used tires, petro-waste, waste coal, wood wastes, raw sewage, discarded corn stalks, residential waste, industrial waste and agricultural byproducts) into ethanol, a clean renewable fuel.