April 22, 2004

Iogen produces world’s first cellulose ethanol fuel

Ottawa – Iogen Corporation has announced that it is producing the world’s first cellulose ethanol fuel for commercial use. Cellulose ethanol is an ultra-low CO2 emission fuel that can be blended with gasoline and used in cars today.

“Today marks the first concrete signal of a major change coming in the fuel market,” said Iogen President, Brian Foody. “We have always looked to better and more efficient vehicles to reduce fossil fuel consumption. Now, new advanced fuels are ready to play a role too!”

Prime Minister Paul Martin attended the event held at Iogen’s plant in Ottawa. “Canada is on the cusp of new energy era and companies such as Iogen are showing the way,”said Mr. Martin. “Our technological expertise in clean energy will be one of the pillars of our economic and environmental prosperity in years to come.”

“This milestone would not have been possible without the commitment, support and vision of Shell, Petro-Canada, and the Government of Canada,” said Foody. “These organizations have shown that they are committed to bringing forward technologies that really can make a difference.”

Iogen’s cellulose ethanol technology is a result of more than 25 years of research and development. Iogen and its partners have committed over C$110 million, and the company owns and operates the world’s only cellulose ethanol demonstration scale facility.

All vehicles can use a standard blend of up to 10 per cent cellulose ethanol mixed with gasoline, with no changes required.

Cellulose ethanol has two unique advantages over conventional ethanol. First, the greenhouse gas emission reductions from cellulose ethanol are three times greater than those from grain based ethanol on a life cycle basis. Second, cellulose ethanol is made from a plentiful and renewable resource, the non-food portion of agriculture crops (e.g. straw, corn stalks and corn cobs). By contrast, conventional ethanol is made from the food portion of agricultural crops (e.g. sugar, corn, wheat, and barley), feedstocks that have important alternative demands.

Iogen’s cellulose ethanol demonstration facility is the final proving stage prior to the rollout of full-scale commercial plants. The company is working with its partners to finalize plant locations.

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