The demonstration plant will produce cellulosic sugars from sugarcane bagasse, the fibrous by-product of sugarcane juice extraction with the cellulosic sugars in turn converted into ethanol.

The plant will employ Edeniq’s proprietary reactor design for continuous enzymatic conversion of biomass to sugar.

Edeniq and Usina Vale are jointly funding the plant under a collaboration agreement.

Edeniq CEO Brian Thome termed its technology as the cheapest possible route to produce cellulosic sugars.

"Through this partnership with Usina Vale, we are further demonstrating our model of increasing the efficiency, scalability and sustainability of biofuels through low capital and operating cost technologies that can be integrated directly into existing ethanol production sites," added Thome.