Blue Fire Inks EPC Deal for Plant

STREATOR, Ill. (DTN) -- BlueFire Renewables, Inc. said in a news release Wednesday it signed a new engineering, procurement and construction contract for its planned cellulosic ethanol facility in Fulton, Miss., with China International Water and Electric, a subsidiary of China Three Gorges Corp.

The Fulton project would allow BlueFire to utilize green and wood wastes available in the region as feedstock for the 19 MMGY cellulosic ethanol plant.

"This contract is truly the first of its kind in the United States," stated Arnold Klann, CEO of BlueFire Renewables, Inc. "It not only provides the backing of a large multinational company with the expertise to manage the execution of the construction of the facility but also sets up a cooperation blueprint for BlueFire and China Three Gorges to work together on other projects and financing."

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Klann said the EPC structure would utilize a U.S.-based EPC contractor to be the onsite engineering, procurement and construction team using local suppliers and craftsmen.

CTG was responsible for building the largest hydroelectric dam in the world that went into operation in 2008 as well as other energy and infrastructure projects globally.

"CTG's support of this important commercial project is consistent with China's goals to advance the use of non-food biomass to produce renewable fuels, power and chemicals in cooperation with the U.S. all the while helping the environment," said Lin Chuxue, executive vice president of CTG.

The companies said they would continue to work together to identify other opportunities and to cooperate on a global scale.

BlueFire Renewables, Inc. was established to deploy the Arkenol patented and Concentrated Acid Hydrolysis Technology Process for the conversion of cellulosic waste materials to renewable fuel sources. BlueFire has demonstrated production of Biofuels from urban municipal solid waste, rice and wheat straws, wood waste and other agricultural residues.

China Three Gorges Corp. was founded in 1993 to develop and build the hydroelectric power plant on the Yangtze River. Following that project the company expanded into multiple areas of development, construction, and asset management.

(BM/AG)

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