Michigan State Governor, Jennifer M. Granholm has announced a partnership between Swedish-based Chemrec AB and Ohio-based NewPage Corporation which will explore the development of a plant to produce renewable biomass-based fuels at the NewPage paper mill in Escanaba, Michigan.

Granholm made the announcement in Sweden this week (22nd August) following a reception with company and government leaders to celebrate the signing of a Memorandum of Understanding between the two companies. 

"This partnership between Chemrec and NewPage is a great opportunity for us as we work to make Michigan the North American hub for alternative energy production," Granholm said.  "With its potential for biomass-based fuel production, this plant in Escanaba could put Michigan at the forefront of renewable next-generation fuels, helping to end our dependence on foreign oil while bringing jobs and investments to the community."

 The plant would employ Chemrec's black liquor gasification (BLG) technology, which converts waste from the paper pulping process into synthesis gas.  The synthesis gas can then be processed into a variety of biofuels.  It is estimated the technology could enable the Escanaba mill to produce up to 13 million gallons of liquid biofuel per year.

 "We continuously search for ways to improve operations while at the same time improving our efficient use of renewable resources such as wood and wood waste," NewPage Corporation Chairman and CEO Mark A. Suwyn said.  "Liquid biofuel production using the BLG technology holds promise to improve efficiencies at our mills as well as becoming a source of valuable fuels and chemicals extracted from renewable sources.  We are excited to be a part of this feasibility project in conjunction with our mill in Escanaba, Michigan."

 The plant would be closely integrated with the paper mill to optimize energy efficiency and enhance the pulp production capacity of the mill.  Several European and U.S. studies have shown the BLG technology to provide a highly efficient and environmentally sound route for converting biomass to liquid biofuels.  The technology does not require high-grade wood or woodchips. 

         "We are very pleased to cooperate with NewPage and with the state of Michigan through the MEDC to introduce our technology in the U.S.," Chemrec CEO Jonas Rudberg said.  "The results-oriented approach of both NewPage and the MEDC has enabled us to establish this cooperation in a very short time.  We are convinced that the results of the study will be positive and that Escanaba can be the first site for this technology in North America."

          The addition of Chemrec's BLG technology to NewPage's Escanaba mill is expected to create new on and off-site job opportunities.  New jobs would be created at the NewPage facility for both biofuel production and for the enhanced pulping capacity. Additional jobs would include logging operations, transportation and maintenance jobs and construction jobs during the development of the plant.