In January 2012, Genomatica and Novamont announced an agreement to establish a joint venture (JV) for the first industrial plant in Europe producing butanediol (BDO) directly from renewable feedstocks. Novamont will have a majority of the equity in the JV, and Genomatica a minority interest. Novamont, a leading producer of biodegradable bioplastics, will use the BDO internally to meet the increasing demand for its biopolymer products that incorporate BDO.
Under the agreement, Novamont is converting a facility in Adria, Italy to use Genomatica’s BDO process and will fund up to $50 million in plant investment. Novamont will also operate the plant, which is expected to have a production capacity of approximately 40 million pounds per year. Initial production is expected in 2013.
The agreement also contemplates Novamont building and operating a second BDO plant using Genomatica’s process, which is expected to use biomass sugars as the renewable feedstock.
See the press release for details.
Novamont will use Genomatica’s process to produce approximately 40 million pounds of BDO per year from renewable feedstocks at a facility in Adria, Italy.