Iogen Corporation announced recently that Goldman Sachs & Co. of New York has invested $30 Million (CDN) in its renewable cellulose ethanol technology.

“Goldman is the first major Wall Street firm to make a commitment to cellulose ethanol,” says Iogen CEO Brian Foody. “Renewable fuels like cellulose ethanol are one of the main options President Bush recently highlighted to reduce America’s dependence on foreign oil.

Goldman’s investment gives it a minority stake in Iogen, the only company to be operating a demonstration facility that converts agriculture materials like straw, corn stalks, and switchgrass to ethanol.  Goldman joins the Royal Dutch/Shell Group as a major investor.  The funds will be used to accelerate Iogen’s commercialization program.

Cellulose ethanol will allow a much greater expansion of U.S. domestic alternative fuel supply because there is a substantial untapped existing biomass resource.

A joint study by the U.S. Departments of Agriculture and Energy (USDA and DOE) has concluded that the land resources of the US could produce a sustainable supply of biomass sufficient to displace 30% (60 billion gallons of renewable fuel per year) of the country’s present gasoline consumption.