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Leaf Energy finds path forward converting plant biomass

Published: 08:00 07 Jul 2014 BST

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Leaf Energy (ASX:LER) has completed a Scoping Study that identifies a clear commercial path for its Glycell™ process for converting plant biomass into valuable, sustainable products.

The study estimated a capital cost of $32.8 million for a plant capable of processing 40 tonnes of hardwood feedstock into cellulose.

Notably, this had an after tax internal rate of return of 42%.

Production costs are $400 per tonne while the cellulose price is $550 per tonne.

Leaf’s GlycellTM process operates at low temperature and pressure using a waste biodegradable reagent, glycerol, to break down plant biomass into its constituent parts: cellulose, hemicellulose and lignin.

Cellulose is a versatile material that can be used in a number of applications and many multi-billion dollar markets including paper, textiles, drilling mud, bioplastics and green chemicals.

Leaf’s Glycell process operates at low temperature and pressure using a waste biodegradable reagent, glycerol, to break down plant biomass into its constituent parts: cellulose, hemicellulose and lignin.

This is expected to have lower costs than more commonly used processes, opening up areas with suitable biomass that was previously deemed to be too small to undertake the commercial production of cellulose and related products.

 

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