Current Status of Biorefinery

The switchgrass production contracts for the 2008 farmer incentive program were rolled out to area farmers the week of January 14. The three-year contracts include a set price per acre for growing switchgrass, as well as providing the seed and technical assistance through UT Extension. Farmers submited proposals for contracts until January 31, and the selected farmers were notified on February 15.

We have completed the steps with the State Building Commission to grant the $40.7 million State appropriation for construction of the demonstration biorefinery to the UT Research Foundation (UTRF). We have an option on a site for the biorefinery in the Niles Ferry Industrial Park in Vonore. We have selected Mascoma Corporation as a strategic technology partner in our biorefinery design and development and are working to solidify additional partnerships that will ensure that we move from this demonstration phase to self-sustaining commercial operations in the state as quickly as possible.

UTRF has organized a Tennessee for-profit entity which will construct and operate the demonstration biorefinery. Our plans call for construction of the facility and commencing operations to coincide with the expansion of the annual switchgrass harvest and ramping up ethanol production capacity in parallel with switchgrass availability.