Thursday, August 9, 2007

Colusa Biomass Attracts Global Attention as Interest Builds in Biofuels

COLUSA, Calif.--(BUSINESS WIRE)--Colusa Biomass Energy Corporation (Pink Sheets:CLME) today announced it has attracted international and national attention for its innovative process to make clean energy, ethanol and industrial grade silica from waste rice straw, the world's most plentiful agricultural waste. Last week, Colusa Biomass hosted a Chinese delegation made up of ethanol production company executives, county executives and rural economic development officers from western China's agricultural region.

"These Chinese leaders want to build renewable energy production in their province and the Chinese Government has made it a priority," said Tom Bowers, Colusa Biomass CEO. These folks live and work in a major agricultural production area in western China that has great rice straw ethanol potential. The Chinese delegation visited Colusa for three days to explore Colusa Biomass' proprietary technologies to turn waste rice straw into fuel ethanol.

The delegation was in response to Bowers and CBEC Field Operations Manager Rick Nannen visiting China in March. "At this point, we are exploring the prospects of a strategic alliance with a China-based ethanol production company to convert waste rice straw to ethanol and silica sodium oxide for markets in China," said Bowers.

China, India, Indonesia and Bangladesh are the largest rice producing nations in the world and are rapidly growing economies with large fuel imports, hence a clear need to replace high-priced fossil fuel imports

Colusa Biomass Energy is currently raising money to build its first bio-refinery in Colusa County. The facility will have an annual capacity to produce 12.5 million gallons of ethanol from approximately 135,000 tons of waste rice straw. The process is based on patented and proprietary technologies that convert waste biomass into ethanol for use in transportation fuels. It is important to note that the process takes nothing from the food stream but only consumes renewable cellulosic waste biomass. The business model anticipates 11 such bio-refineries in the US.