Indianapolis, Indiana – A new strain of yeast, co-developed by a Toronto company, may be a key ingredient to producing ethanol fuel from non-food sources.

Lallemand Ethanol Technology, a Milwaukee-based subsidiary of Toronto yeast company Lallemand, has signed an exclusive agreement with Xylogenics of Indianapolis to develop and commercialize genetically-enhanced, ethanol-producing yeasts for first-generation ethanol production.

The enhanced yeasts will increase fermentation yield, reduce fermentation costs, and potentially increase ethanol plant fermentation capacity when compared to current commercial strains. Lallemand will be responsible for process development, manufacturing and commercialization of the new yeast. Under the terms of the agreement, Xylogenics will receive patent licence fees and royalty payments.

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