Lignol Signs MOU with Suncor to Develop Cellulosic Ethanol Plants

Lignol Energy Corporation announced that its wholly owned subsidiary, Lignol Innovations Ltd., has signed a memorandum of understanding with Suncor Energy Products Inc. granting Suncor a right of first refusal to build the first cellulosic ethanol commercial demonstration plant in Canada using Lignol technology.

“Suncor has provided us with valuable support in the current commercialization work plan funded in part by Sustainable Development Technology Canada,” said Ross MacLachlan, President and CEO of Lignol. Increased utilization of ethanol in both business and consumer transport can be achieved using existing infrastructure and in compliance with current automobile manufacturer fueling guidelines. Governments in North America and around the world are mandating increased ethanol use as part of their environmental strategies. The Government of Canada has set a goal of an average of five percent renewable-fuel content in vehicle fuels by 2010. “We look forward to working with Suncor on the demonstration plant and in the development of strategically located commercial scale facilities subsequent to the successful deployment of the demonstration plant,” added MacLachlan.