The global chemical giant Dupont and Genencor, a subsidiary of Danisco, recently announced the formation of DuPont Danisco Cellulose Ethanol Co., Ltd., each holding 50% of the shares. The global joint venture will be committed to the development of a commercially valuable, advanced and low-cost technology solution for cellulosic ethanol production to face the global $75 billion in energy business opportunities. Cellulose ethanol is the next generation of biofuels, produced using non-food feedstocks. It is imperative to develop sustainable biofuels. Both parties plan to invest US$140 million in the first phase in three years to develop a technological solution for the production of ethanol from corn stover and bagasse. In the future, research will also be conducted on the conversion of various lignocellulosic raw materials, including wheat straw, various energy crops, and other biomass.
Mr. Hellett, chairman and chief executive of DuPont, said: With grain and gasoline prices skyrocketing in double digits, the development of sustainable biofuel technology is imperative. The establishment of this joint venture is precisely to solve this problem. Integrating the advantages and expertise of the two parties to establish this new joint venture will greatly increase the possibility that the two companies will more quickly achieve the more economical production of cellulosic ethanol from a variety of non-grain raw materials globally.
DuPont Danisk Cellulose Ethanol Co., Ltd. will make full use of the many scientists and advanced technologies owned by the two parent companies to accelerate the pace of integrating the unique cellulose processing capabilities of both parties and achieve a more economical goal of producing non-food ethanol. The two parent companies will assign intellectual property rights and patents relating to cellulosic ethanol to joint venture companies, thereby optimizing the integration of multiple processes into a complete technological solution, and maximizing the productivity of ethanol production from cellulose and reducing Overall production cost.
The first demonstration project will be put into operation within 3 years
In the United States, the joint venture company will integrate DuPont's pretreatment and ethanol fermentation technologies and Genencor's innovative enzyme production technology to form an integrated optimization technology program for corn cob processing, and related analysis of cellulose raw material collection and storage technologies. It is still responsible for DuPont. The first pilot of this global joint venture is expected to be put into operation in the United States in 2009, and its first large-scale commercial demonstration project is expected to be put into operation within the next three years. The joint venture company will be formally established after obtaining the approval of the regulatory agency. The headquarters will be located in the United States.
The joint venture company will directly grant the right to use the technology solutions to ethanol producers in the United States and around the world. At the same time, it will also establish regional partnerships to promote the commercial production of ethanol. These affiliate partners will select some strategic partners, including ethanol producers and energy companies, to invest in equity to promote the joint venture company's cellulosic ethanol technology to quickly achieve large-scale commercial applications. The joint venture is expected to have cellulosic ethanol available for commercial mass production in 2012.
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