Canadian company Lignol Energy Corporation has received additional funding for the completion of an industrial scale cellulosic ethanol facility in British Columbia.
Lignol Energy Corporation announced that the project led by its wholly-owned subsidiary, Lignol Innovations was awarded up to $1.82 million in additional funding contributions from Sustainable Development Technology Canada (SDTC). This award is in addition to the $4.42 million awarded to date from SDTC, representing an aggregate contribution to Lignol from SDTC of up to $6.24 million.
“Our Government is investing in new and innovative technologies to help move forward the next generation of renewable fuels,” said Mark Warawa, Member of Parliament for Langley and Parliamentary Secretary to the Minister of the Environment. “These new technologies have the potential to generate even greater environmental benefits than traditional renewable fuels and will provide new economic opportunities.”
At the same time this week, Lignol reported a third quarter loss of C$1.88 million or C$0.04 per share, compared to a loss of C$1.19 million or C$0.03 per share in the third quarter a year ago.
Lignol also reported that they ceased negotiation of a joint venture with Suncor Energy to pursue the development of a cellulosic ethanol commercial demonstration plant in Colorado due to the instability of energy prices and uncertainty in capital markets and they are now exploring other alternatives for the $30 million grant they had received for that project from the U.S. Department of Energy.