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January 15, 2008 | Jim Lane | Comments 0

US Department of Energy to make $200 million in new cellulosic ethanol grants; “on track” to meet US ethanol mandate

In Washington, the principal deputy assistant secretary at the US Energy Department’s Office of Policy and International Affairs, told the Reuters Global Agriculture and Biofuels Summit that the US is on track to make 22 million gallons of cellulosic ethanol by 2022. The output is mandated under the Energy Independence and Security Act signed last month by President Bush. The Department of Energy will shortly award as much $200 million to fund pilot-scale cellulosic ethanol projects projects, adding to more than $1.1 billion in grants made in 2007.

The grant will be the first large-scale grant made since the DOE disgorged more than $500 million in support of multiple cellulosic ethanol demonstration projects that are generally in the construction and testing phases now.

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