Abengoa Bioenergy was given a key to the city of Hugoton, Kansas last week after formally announcing plans to build a 300-million dollar cellulose ethanol plant near there.

The plant is expected to be the first commercial cellulosic ethanol facility and will eventually produce 30 million gallons of cellulosic ethanol and 85 million gallons of traditional corn-based ethanol per year.

Gov. Kathleen Sebelius was among the dignitaries at the event on Thursday. She told representatives from the local community that they should be proud of this “cutting-edge project” that will be home “for our new fuel supply” that the rest of the nation and world will be watching.

Abengoa‘s Kansas plant was one of six projects selected nationwide by the Department of Energy to create and develop the cellulosic ethanol industry.

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