Aug 31 2010
KiOR, Inc., an advanced energy company, has entered into an agreement with Mississippi State for building five production facilities for renewable crude oil on the commercial scale.
This is in return towards a state assistance package consisting of a loan of $75 million. As per this agreement, KiOR will be building three among the five facilities during the oncoming five years.
By the year 2015, this project will be delivering in excess of 1,000 direct as well as indirect jobs at an estimated investment of $500 million. Additionally, the package provides assistance along with the infrastructure needs as well as workforce training. The company is planning to utilize the woody biomass that is abundant in supply in Mississippi for the purpose of producing Re-Crude, a crude oil of high quality in commercial volumes that could be refined as conventional fuel products such as diesel and gasoline.
KiOR’s development of a conversion process of converting biomass into renewable crude oil significantly reduces the time taken to mere seconds. The process involves the utilization of the proprietary catalyst system while leveraging a proven technology that is used in this industry of oil refining. KiOR’s process has considerable cost benefits that include lower operating costs and lower capital, in comparison with other biofuel technologies.