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8-K - KL Energy Corp | v195588_8k.htm |
EX-10.1 - KL Energy Corp | v195588_ex10-1.htm |
EXHIBIT
99.1
Petrobras
America Inc. Signs Joint Development Agreement with KL Energy Corporation
to
Optimize its Technology to Produce Cellulosic Ethanol from Sugarcane
Bagasse.
Rapid
City, SD., August 24, 2010 — KL Energy Corporation (OTC: KLEG) is
pleased to announce, Petrobras through Petrobras America, has entered
into a Joint Development Agreement with KL Energy Corporation ("KLE"), to
jointly optimize KLE’s proprietary cellulosic ethanol process technology for
sugarcane bagasse feedstock (“Bagasse”).
The
latest generation of KLE’s process design provides for substantial enhancements
over the first generation, implemented in 2008 at the company’s demonstration
plant in Upton, Wyoming using Ponderosa Pine feedstock, including the ability to
be optimized for multiple feedstocks.
As part
of this agreement, Petrobras will provide US$ 11 million to adapt KLE’s
demonstration facility to the use of Bagasse, validate the optimized process by
producing cellulosic ethanol and bio-lignin from Bagasse in multiple campaigns
and license the technology.
In
parallel, Petrobras and KLE will jointly work on an industrial scale Bagasse
based cellulosic ethanol plant project that shall be fully integrated into a
sugarcane mill belonging to the Petrobras Group in Brazil slated to go on stream
in 2013 and capable of producing 15 million liters per year.
The
agreement, which has an initial term of 18 months and provides for mutual
exclusivity in the area of developing cellulosic ethanol from Bagasse, provides
Petrobras with the option to enter into a technology license for the use of
KLE’s technology within Petrobras Group assets.
Miguel
Rossetto, CEO of Petrobras Biocombustível said, “Petrobras views cellulosic
ethanol as a very promising technology to substantially increase the ethanol
output by some 40% without increasing the planted area output and further
improve the carbon footprint of its sugarcane mills. This agreement with KLE
will considerably accelerate this development effort and we are optimistic about
the commercial potential of the optimized technology platform.”
“Brazil
is global leader in the production of affordable biofuels and biomass, and we
believe that bagasse is a perfect feedstock for our process. KLE plans to be at
the forefront of the emerging cellulosic ethanol market in Brazil,” said Peter
Gross, President and CEO of KL Energy Corporation. “We are very excited about
this opportunity and we can think of no better partner for this endeavor than
Petrobras, a company globally recognized for its technological competence,
social and environmental responsibility and its investments in clean
energies.”
About
Petrobras
Petrobras
is a major integrated oil, gas, and energy company operating in the following
segments of the industry: exploration and production; downstream, marketing,
transportation and petrochemicals; distribution; natural gas, energy and
biofuels. Established in 1953 as Brazil’s National Oil Company, Petrobras today
is a publicly traded company whose principal operations are still in Brazil, but
where it now competes under an open and competitive regulatory
framework. Recognized by its massive resource base and its global
leadership in deep and ultra-deep water exploration, Petrobras is now one of the
world’s ten largest companies by market capitalization. The company operates in
all five continents and in 29 countries. The company also has activities in
renewable energies, especially in biofuels, for which Petrobras established a
subsidiary company, Petrobras Biofuel.
About KL
Energy Corporation
KL Energy
Corp. (KLEG.PK), a leader in the development and commercialization of second
generation cellulose-based energy products, including ethanol and bio-lignin
based energy products and chemical intermediaries. KLE's commercial
demonstration facility in Upton, Wyoming is to the company's knowledge one of
the first demonstration facilities of its type to produce cellulose-based
ethanol and bio-lignin products from wood waste. The facility uses KLE's
proprietary thermo-mechanical pretreatment and enzymatic hydrolysis process, in
what the company believes is one of the most environmentally friendly processes
in the sector, which can be adapted for various non-food feedstocks. In
addition, KLE provides engineering, optimization and technical services for
biofuels facilities. Additional information is available at the Company's
website at www.klenergycorp.com.
Company
Contact:
KL Energy
Corporation
Peter
Gross, Chief Executive Officer
+1 (605)
718-0372
Alan Rae,
Director of Corporate Finance and Global Business Development
+1 (302)
353-4556
arae@klenergycorp.com