15-Oct-2010 - Avantium Technologies B.V.

Avantium builds YXY pilot plant for green materials and fuels

Avantium announced that it has started with the construction of a pilot plant at the Chemelot site (Geleen, the Netherlands). The pilot plant will produce YXY building blocks for making green materials and fuels. Avantium has developed a novel and proprietary catalytic process to convert carbohydrates into furanic building blocks under the brand name YXY. The pilot plant is expected to become operational in the first quarter of 2011. The pilot plant marks a major milestone in the commercialization of a new generation of renewable materials and fuels.

The pilot plant will demonstrate the breakthrough process developed in Avantium’s labs at larger scale. Furthermore, it will produce several tons of YXY building blocks per year to support product development. Avantium is collaborating with industrial partners such as NatureWorks (a subsidiary of Cargill) and Teijin Aramid to develop novel materials on basis of its YXY building blocks. Avantium collaborates with DAF Trucks (a Paccar company) on the development of YXY fuels. The company expects to use YXY building blocks for the production of green and recyclable materials such as water and soft drink bottles, carpets, textiles, high-performance fibers, coatings and plasticizers.

Tom van Aken, CEO Avantium, commented: “We are excited to take this major step in commercializing our YXY technology. Over the past years we have made tremendous progress to develop a low-cost production process to convert biomass into YXY building blocks. We believe that we have brought the technology to a point where we can be price competitive with existing plastics and fuels that are made out of oil. In parallel we have proven that you can make materials on basis of YXY that have excellent performance characteristics. With the strong market pull from corporations and consumers for green materials, the time is right for the scale-up of our technology. We look for industrial partners in the polymer, chemicals, materials and fuels sectors to support our development of YXY based materials and fuels, and help us create a truly green economy”.

The pilot plant is partly funded by a EUR 1 million grant from the Dutch Ministry of Agriculture. The Ministry had a total budget of EUR 10 million for projects to realize pilot plants for the production of sustainable bio-based products and energy for the European market. To run the pilot plant and to further accelerate the commercialization of YXY, Avantium is raising additional private funding. The company expects to close a EUR 15 million round by the end of 2010.

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