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Coskata, Inc. is a Warrenville, Illinois based energy company researching the production of cellulosic ethanol from woodchips. Costaka's process combines both biological (i.e., microbes) and thermochemical (heat and chemicals) processing. The estimated cost of production via this technology is under $1 per gallon, as opposed to corn-based ethanol costing approximately $1.40 per gallon [1]

Coskata announced in April 2008, that the company would begin producing ethanol on a small scale at a plant being built near Pittsburgh, PA. With a capacity of about 40,000 gallons annually, the fuel will be used by General Motors to be tested in their vehicles. The pilot plant is being constructed in a modular design by Zeton Inc. in Burlington, Ontario, Canada.[2] A full scale production plant capable of producing 50 to 100 million gallons of cellulosic ethanol is expected to go online in 2011.[3]

Coskata recently signed a deal with US Sugar Corporation to build a cane-waste biofuels conversion facility in Florida.[4]

Competitors include Fulcrum BioEnergy and LanzaTech. LanzaTech has successfully demonstrated its technology at Pilot scale in NZ –using Industrial waste gases from the steel industry as a feedstock for its microbial fermentation. [5]

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