HOUSTON (ICIS)--Fertilizer producer BioNitrogen announced on Thursday it has commissioned feasibility studies for biomass feedstock supply for its planned facilities in Florida and Louisiana.
BioNitrogen officials said it has selected BioResource Management of Gainesville, Florida to undertake the studies which the company said are a necessary prerequisite to securing competitive feedstock agreements in each location and for selling the tax-free bonds to finance the fertilizer projects in both states.
Although the cost of the studies was not revealed, the company did say it anticipates the project will be completed during the month of February.
Florida-based BioNitrogen is giving a second life to the leftover materials from farming, timber and mining activities, which would in the past be viewed as lacking any future value. The biomass is transformed into urea through a gasification technology process and catalytic conversion.
In February 2013 the company announced plans to build five plants in Louisiana that will convert biomass composed of agricultural residue from such crops as sugarcane to urea. Without revealing a time table, or monetary value of the new plants, the company the operations would be able to create 1,800 tons of urea daily with an annual output expected to be 621,000 tons.
BioNitrogen also announced last year it was planning on building a $175m plant facility in Florida which was expected to produce 124,200 tons per year of the vital crop nutrient. The company signed an exclusive agreement with CF Industries for the removal of woody biomass from phosphate mining operations that will be converted to bulk urea.
BioResource Management is a forestry, geography and agriculture-based firm that focuses on biomass resources and specializes in identifying, evaluating, predicting and providing biomass supplies to its industrial customers.
“The studies by BioResource Management will confirm the work to date on the availability of biomass in Florida and Louisiana to provide ample biomass feedstock supply for the plants. We are excited about completing these studies and advancing the project,” said Ernie Iznaga, BioNitrogen vice president of operations.