Velocys takes step forward in permitting Mississippi biorefinery
Testing biofuels. Author: Official U.S. Navy Page. License: Creative Commons, Attribution 2.0 Generic.
UK-based renewable fuels start-up Velocys Plc (LON:VLS) today said the US Department of Agriculture (USDA) has issued a Finding of No Significant Impact (FONSI) on the environmental assessment report for the company's biorefinery project in Mississippi.
Having passed this environmental milestone, Velocys will now concentrate on the next stages in the development of the project such as obtaining state-level permits.
"This is a significant step in the permitting of the Bayou Fuels biorefinery as well as an important milestone for the overall development of the project," said chief executive David Pummell.
The facility, to be located in Natchez, will use Velocys' technology to produce renewable fuel from locally-sourced woody biomass waste of lumber operations and tree plantations. It is expected to produce enough fuel to run around 40,000 diesel and gasoline trucks, the company says.
Velocys has previously said that final investment decision for the project is expected in the second half of 2019. The company is aiming to find one or more strategic partners to join the project consortium in the second half of 2018.