Minnesota-based carbon products developer Biogenic Reagents, West Fraser enter agreement to develop renewable biocarbon products from woody biomass feedstock; products intended to help clean water, air and boost food production worldwide
June 18, 2014
– Venture to Pursue the Use of Wood Feedstock Supplied by West Fraser to Expand Biocarbon Production Capacity in North America
Biogenic Reagents, a leading producer of high-value biocarbon products from renewable biomass, announced that it has entered into an agreement with West Fraser, Inc., a U.S. subsidiary of West Fraser Timber (Toronto:WFT), the largest lumber producer in North America, to develop renewable biocarbon products. The parties will contribute capital and assets to a new company—Biogenic Reagents Ventures LLC—that will operate existing, and potentially build new, biocarbon production capacity using proprietary technology and woody biomass feedstock, including supplies from West Fraser facilities.
James Mennell, Chief Executive Officer of Biogenic Reagents, said, "This collaboration is expected to provide a strong platform and path for the expansion of renewable biocarbon production capacity with abundant and diversified feedstock supply chain security." Biogenic Reagents Ventures will own and operate an existing biocarbon production facility located in Marquette, Michigan and plans to expand North American production of proprietary biomass-based biocarbon products. These products include activated carbon that is used globally to purify drinking water and to reduce emissions from power plants, and agricultural carbon soil amendments that increase crop yields, retain nutrients and reduce water requirements and runoff by capturing and holding nutrients and water in the root zone of plants.
Subject to certain feasibility thresholds being achieved, the Company intends to actively develop new production capacity in North America to be operational as early as 2015. According to Mennell, "By increasing our production platform and diversifying production locations, our goal is to create a sustainable, low-cost and scalable solution to meet increasing customer demands for our purification products."
A $31 million expansion of the Marquette facility was recently completed. The facility is using and refining proprietary technologies with the goal of expanding the application of the technologies to produce least-cost, lowest environmental impact biocarbon products to help clean water, air and increase food production on a global basis.
This news release contains certain forward-looking statements about potential future developments or events, in particular those relating to plans to invest additional capital, expand biocarbon production capacity and achieve the least-cost, lowest environmental impact goals. These are presented to provide reasonable guidance to the reader. Their accuracy and the actual outcomes or results of such developments or events will depend on and are subject to a number of assumptions, risks and uncertainties and other factors that could affect the ability of Biogenic Reagents and West Fraser to achieve such outcomes or results or execute current business plans. Actual risks and uncertainties may differ materially from those anticipated or projected. Accordingly, readers should exercise caution in relying upon forward-looking statements and Biogenic Reagents undertakes no obligation to publicly revise them to reflect subsequent events or circumstances, except as required by applicable securities laws.
About Biogenic Reagents
Biogenic Reagents is a developer and producer of low-cost, high-performance carbon products made from renewable resources. Privately held, Biogenic Reagents is headquartered in Minnesota with a production facility in Michigan. More information about Biogenic Reagents can be found at www.biogenicreagents.com.