Coskata shifts focus to synfuels
Illinois-based Coskata has shelved plans to pursue cellulosic biofuel production. Instead, the company will focus on the production of synfuels using natural gas feedstock. In addition, Coskata has elected not to complete an initial public offering (IPO) at this time.
Regarding the move to natural gas-based synfuels, Coskata CEO Bill Roe says his company made the decision due, in part, to lower risks and lower production and capital costs. “We made this decision because we see an enormous opportunity to upgrade natural gas into higher value transportation fuel,” he says. “Natural gas is a huge opportunity owing to its abundant supply and historically low price, and we are uniquely positioned to take advantage of it with our syngas fermentation technology.”
Roe also notes that Coskata isn’t entirely abandoning the potential to use biomass feedstock in the future. “We still intend to build a biomass facility in the future if the economic and regulatory conditions are right,” he says. The company is also leaving open the opportunity to complete an IPO in the future.