Cellulosic ethanol plant under construction in Mont.

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CUPERTINO, Calif. — AE Biofuels, Inc., an advanced energy company that is developing next-generation ethanol and biodiesel production worldwide, recently announced that it has begun construction of an integrated cellulose and starch ethanol commercial demonstration facility in Butte, Mont.

The plant will use patent-pending ambient temperature cellulose starch hydrolysis enzyme technology to optimize process conditions for multiple feedstocks.

Nonfood ethanol feedstocks used by the facility are expected to include switchgrass, grass-seed straw, small-grain straw and corn stalks alone and in combination with a variety of traditional starch and sugar sources.

The 9,000 square foot pilot plant facility is expected to be fully operational in the second calendar quarter of 2008.

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