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Next generation biofuel

Guest Martin von Arronet

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Guest Martin von Arronet

Royal Dutch Shell plc and its subsidiaries (“Shell”) and Iogen Corporation today announced an extended commercial alliance to accelerate development and deployment of cellulosic ethanol.


The terms of the agreement include a significant investment by Shell in technology development with Iogen Energy Corporation, a jointly owned development company dedicated to advancing cellulosic ethanol. The arrangement will also see Shell increasing its shareholding in Iogen Energy Corporation from 26.3% to 50%. Shell first took an equity stake in 2002.


The collaboration with Iogen is a key part of Shell’s strategic investment and development programme in biofuels, particularly in 'next generation' biofuels using non-food feedstocks. The fuel is made from raw materials such as wheat straw and promises to reduce CO2 production by up to 90% compared to conventional gasoline.


Iogen’s first demonstration commercial plant opened in Ottawa in 2004. Shell is considering investing in a full-scale commercial cellulosic ethanol plant and is contributing to Iogen’s detailed feasibility and design assessment work.


Commenting on Shell’s increased investment, Dr. Graeme Sweeney, Shell Executive Vice President Future Fuels and C02 said “This is a strong statement that Shell is committed to accelerating the development of cellulosic ethanol in collaboration with Iogen. We have come a long way together already on this particular technology pathway for sustainable biofuel and we will be working ever closer to meet the technical and commercial challenges facing larger scale production.”


“We are excited to see this expanded partnership”, said Brian Foody, Chief Executive Officer of Iogen Corporation. “This transaction sets the stage for successful large scale cellulosic ethanol production.”


Royal Dutch Shell plc is incorporated in England and Wales, has its headquarters in The Hague and is listed on the London, Amsterdam and New York stock exchanges. Shell companies have operations in more than 110 countries and territories, with businesses including: oil and gas exploration; production and marketing of liquefied natural gas and gas to liquids; marketing and shipping of oil products and chemicals; and renewable energy projects including wind, solar and biofuels.



Iogen is a leading biotechnology firm specialising in cellulosic ethanol – a fully renewable transportation fuel made from agricultural residue that can be used in today’s cars. The company has been producing cellulosic ethanol at its Ottawa demonstration plant since 2004. Iogen also develops, manufactures and markets enzymes used to modify and improve the processing of natural fibers within the textile, animal feed and pulp and paper industries. In operation since 1974, Iogen is a privately held company located in Ottawa, Canada. For more information, visit www.iogen.ca - opens in a new window

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