Abengoa gets loan guarantee for cellulosic ethanol plant in Hugoton

The U.S. Energy Department today announced a conditional commitment for a $133.9 million loan guarantee to Abengoa Bioenergy Biomass of Kansas to support development of a commercial-scale cellulosic ethanol plant in Hugoton.

The company estimates the project will create about 300 construction jobs and 65 permanent jobs.

The project is expected to convert approximately 300,000 tons of corn stalks and leaves into 23 million gallons of ethanol per year using an innovative enzymatic hydrolysis process.