Catchlight Energy will supply feedstock to Kior

| June 09, 2011

Partnerships keep on forming for Kior, the renewable crude oil developer that has plans to construct and operate a commercial-scale plant in Columbus, Mississippi, and a new partnership with Catchlight Energy LLC could prove to be one the best. A 50-50 joint-venture between Chevron Corp and Weyerhaeuser Co. to provide forest-based renewable feedstocks for the biorefining industry, Catchlight Energy has now officially agreed to be the feedstock supplier for Kior.

The first announcement between the two companies occurred in April, setting up an initial agreement. That agreement was “subject to satisfaction of product specification criteria and RIN certification of the products as cellulosic biofuels under the U.S. Renewable Fuels Standard,” Kior said. In addition to the recent agreement, the two companies will also collaborate through a “testing and optimization” agreement that will optimize the compatibility of Kior’s blendstocks with Chevron facilities, the company said.

Fred Cannon, president and CEO of Kior, said that securing a feedstock supply agreement at the Columbus facility is an important milestone. “We are pleased with the progress in securing contracts for the facility’s feedstock supply and for the offtake of the facility’s output of renewable fuel blendstocks,” he said.

Almost a month prior to this announcement, Kior also signed a fuel supply agreement with FedEx Corp. Services Inc. The agreement infers that Kior “may,” supply renewable diesel to FedEx. The agreement was the first for Kior with an actual end-user. Along with Catchlight and FedEx, Kior also has an agreement with Hunt Refining Co. to supply them with renewable gasoline and diesel blendstocks made from their process.