Abengoa has been selected by Fulcrum BioEnergy to build the first biorefinery using gasification technology to convert more than 200,000 tons of municipal solid waste (MSW) into syncrude that will be converted into more than 10 million gallons of jet fuel. The plant will be located in the Tahoe-Reno Industrial Center, around 20 miles east of Reno, Nevada. The contract, worth $200 million, gives Abengoa the responsibility for the execution of the plant including engineering design and construction. The will also participate in the development of the project.

“Abengoa is the seventh largest EPC company in the U.S. and is one of, if not, the premier engineering and construction firms in the renewables space. They have the demonstrated experience and capabilities and have stepped up and made the business commitments to get the job done for us,” said James Macias, Fulcrum’s president and CEO. “We are eager to add Abengoa to our team. Abengoa has the skill and horsepower to take our design and technology development and successfully turn it into an operating commercial plant.”

This initiative, says Abengoa, provides a sustainable alternative for the large volumes of municipal solid waste generated in the area every year, which would otherwise be disposed of in a landfill. The process of converting MSW into renewable transportation fuels will significantly reduce the number of landfills, a growing concern because of the chemical pollutants released into the air and seeping into the groundwater.

The MSW biorefinery is set to go into operation in the third quarter of 2017.