Chemical and Engineering News
10-04-07
ConocoPhillips, ADM Strike Biofuels Deal
Partnership aims to develop renewable transportation fuels from biomass
Glenn Hess
ConocoPhillips and Archer Daniels Midland have agreed to collaborate on
research aimed at developing biocrude, a nonpetroleum substance derived from
agricultural waste and forestry products that can be processed into transportation
fuels.
ADM, a major grain processor and the biggest U.S. ethanol producer, will provide
biomass from crops, wood, or switchgrass. ConocoPhillips, the nation's thirdlargest oil company, will convert the materials into biocrude, which will then be
refined into gasoline, diesel, and jet fuel.
The companies have each committed $5 million to the initial research on
developing biocrude. The project is expected to last five years. Research will be
conducted at ADM, ConocoPhillips, and universities.
"ConocoPhillips believes that the development of next-generation biofuels is a
critical step in the diversification of our nation's energy sources," says James J.
Mulva, CEO of the Houston-based company. "We are hopeful that this
collaboration will provide innovative technology toward the large-scale production
of biofuels that can be moved efficiently and affordably through existing
infrastructure."
"Innovative collaboration like this will identify and bring to market feasible,
economic, and sustainable next-generation biofuels," adds ADM's CEO Patricia
A. Woertz.
The partnership reflects a growing trend in which companies in the energy
industry, often with government support, are actively exploring the development
of renewable resources rather than relying solely on fossil fuels.
In April, for example, ConocoPhillips said it would establish an eight-year, $22.5
million research program at Iowa State University to develop technologies
to create renewable biofuels. Other oil companies are funding similar research
ventures at other universities.