Four cellulosic ethanol projects to get cash from U.S. DOE

The U.S. Department of Energy named four cellulosic ethanol projects that will receive up to $33.8 million in funding over four years.

The DOE said the projects would focus on developing improved enzyme systems to convert cellulosic material into sugars suitable for the production of biofuels.

Combined with industry cost share, the department said up to $70 million would be invested in the projects, with a minimum of 50 percent cost share from industry.

The department announced that the funding was up for grabs last August (see US DOE offering $33.8M for cellulose).

"Success of these projects will play a pivotal role in the rapid development and deployment of renewable fuels to reduce emissions and dependence on foreign oil, and fundamentally change how we power our vehicles," said Andy Karsner, DOE's assistant secretary for energy efficiency and renewable energy.

The companies getting the grants include the DSM Innovation Center in Parsippany, N.J., part of the Netherlands' DSM (OTC:RDSMY); Palo Alto,Calif.'s Genencor; Novozymes in Davis, Calif.; and San Diego, Calif.-based Verenium (Nasdaq: VRNM).

The department said the funding is part of over $1 billion it has announced within the last year for multi-year biofuels research and development projects.

The DOE said the latest cellulosic ethanol projects also complement its support for four small biorefineries in Colorado, Missouri, Oregon and Wisconsin, announced last month (see DOE putting up $114M for small-scale biorefineries).