Alliance BioEnergy Plus announces sublicense agreement

By Alliance BioEnergy Plus Inc. | April 09, 2018

Alliance BioEnergy Plus Inc. announced April 5 that it has signed a sublicense agreement with Phoenix Biomaterials Thomaston LLC for the use of their licensed and patented CTS process, in a plant Phoenix intends to build in Thomaston, Georgia.

Phoenix paid a substantial deposit, against the first sublicense fee payment, to grant them 60 days in order to finalize offtake agreements and site acquisition that is required under their overall funding terms. The initial sublicense fee payment of $1.25 million is due May 25 with subsequent payments due throughout the construction and site development process.

Phoenix intends to build a new plant that will be processing up to 1,000 tons a day of chipped pine and paper waste into an industrial sugar syrup that will be sold and used to produce biodegradable plastics, biofuels and fine chemicals. Phoenix intends to break ground in the summer of 2018 with completion by early 2020 and has contracted with Ford, Bacon & Davis to oversee the engineering and construction of the facility. Once complete the Phoenix plant represents approximately $5.5 million a year in royalty income for the company.

 

CTS process advancing, now continuous and significantly more efficient

In what can only be described as a breakthrough to a breakthrough the CTS process has gone through a complete overhaul in its design, production parameters and capabilities over the last several months. What was once a batch process using multiple repurposed ball mills, that needed to be sequentially loaded and unloaded while converting up to 70 percent of the cellulose in fifteen minutes, is now a stand-alone reactor that continually processes hundreds of tons an hour, without having to stop and reload batches. CTS 2.0 no longer relies on ball bearing impacts or large rotating vessels to achieve a nearly 100 percent conversion, almost instantly in what is now a continuous run that is no larger than a small truck and capable of processing thousands of tons a day of biomass. This means that for the first time in history virtually any cellulose material can be converted into its fermentable, soluble components almost instantly with very little energy consumption and no hazardous or waste byproducts. The new CTS 2.0 reactors will be able to produce fermentable sugars and solubles for approximately 2 cents per pound, which translates into a total production cost for a gallon of second generation cellulosic ethanol at less than 80 cents. That is a game changer in the biofuels industry. The company has filed its sixteenth patent application on the design and process of the new reactors bringing the total to four issued patents and 16 filed and pending patents surrounding the CTS family of technologies.