Lignol, FPInnovations enter joint agreement

An agreement to develop and commercialize high-value applications for the cellulose produced in Lignol's biorefining process.
By Ron Kotrba | July 28, 2011

This week, I'm posting a news release from Lignol, regarding a new joint development and commercialization agreement entered into with FPInnovations. 

Lignol Energy Corp. and FPInnovations, a large, nonprofit forest research organization, announced this week a joint development and commercialization agreement to develop new, high-value applications for the cellulose produced by Lignol's biorefining process.

One of the primary product streams of Lignol's integrated biorefinery platform is unique and highly reactive cellulose, which can be utilized in the production of biofuels, sugar platform chemicals and cellulose-based materials. Cellulose-based materials are widely used in a number of high-value industrial applications such as textiles, paper and food products.

"The capability to produce high-value cellulose-based materials will enhance the economics of our biorefining platform and diversify the markets for our technology worldwide,” said Ross MacLachlan, president and CEO of Lignol. “Several companies have expressed interest in the cellulose derivatives available from our technology. Working in partnership with FPInnovations, we aim to realize the full potential of this optionality and tap into their world-renowned expertise and intellectual property in developing materials that address the increasing global demand for natural and renewable products to replace fossil-carbon and mineral-based materials."

"This agreement with Lignol supports our mission of capitalizing on Canada's fiber attributes in developing new products and market opportunities within a framework of environmental sustainability that can optimize the forest sector value chain," said Pierre Lapointe, president and CEO of FPInnovations. "Our relationship with Lignol has been productive, leading to the successful development of two commercial wood composite applications incorporating Lignol's unique lignin formulations and we look forward to continued success under this agreement in the development of high value cellulose products that can have applicability to the Canadian forest products industry."

The five-year agreement calls for Lignol and FPInnovations to jointly conceive and execute projects with a mechanism for commercial ownership based on the contributions of each party, while recognizing the substantial inventory of intellectual property that each organization brings to the collaboration.