Associated Press - November 21, 2009 10:05 AM ET
CHEYENNE, Wyo. (AP) - A company that runs a pilot cellulosic ethanol plant in northeast Wyoming has won approval to participate in a new federal program that aids development of biofuels.
KL Energy Corp. has been working on perfecting a process to produce ethanol from wood chips at its test plant in Upton.
The wood chips are gathered from trees and brush in the Black Hills National Forest, which straddles the Wyoming-South Dakota state line.
The U.S. Department of Agriculture has a new program called Biomass Crop Assistance Program that will help KL Energy with its feedstock costs at the Upton facility.
Company CEO Steve Corcoran says the federal program is an important incentive to potential partners and project developers in KL Energy's biomass efforts.
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