LanzaTech, a New Zealand-based company which specializes in the production of low cost ethanol fuel from gases produced by the steel industry, signed a deal with one of the largest coal producers in China, Henan Coal and with the Chemical Industrial Corporation for the production of ethanol fuels and other chemical products.
The agreement between the three companies also calls for the creation of a Bio Energy Research Center, which will be in charge with the development, pilot production and selling of the technology needed to change coal derived synthesis gas (or syngas - it contains elevated levels of hydrogen gas) to ethanol fuels. The facility should be up and running in the second part of next year.
According to LanzaTech, the technology has already proven its worth as it was used to convert biomass syngas at laboratory scale. The process, its costs and the cost of the resulted product have not yet been announced by the manufacturer.
“Our partnership with Henan Coal and Chemical and the Chinese Academy of Sciences will help reduce the CO2 footprint of China’s coal industry,” said Jennifer Holmgren, LanzaTech’s CEO.
“The Henan MOU demonstrates the continued commitment of China to the development and usage of clean energy. Early adoption of these technologies will enable China to become a leader in green energy manufacturing and use,” the CEO added.