Alliance Bio-Products, Inc. Identifies Market Opportunity for Lignin Waste as a Byproduct of Cellulosic Ethanol Production

(Alliance Bio-Products, Inc./AccessWire) The Company's Production of Pure Lignin Provides a Viable Opportunity to Further Reduce the Production Costs of Cellulosic Ethanol While Adding an Additional Revenue Stream -- Alliance Bio-Products, Inc. ("ABP"), a subsidiary of Alliance BioEnergy Plus, Inc. (OTCQB: ALLM), today commented on the market opportunity for its waste lignin as an additional revenue stream within biofuel production processes, as it can be used in place of aromatic compounds.

A recently published research report in BioFuels Digest highlights the value and use of electrocatalysts in the extraction of pure lignin waste during the biofuel production process. The ability to extract pure lignin - which can be used to create other products including resin, resin binders, hydrogen, and other industrial chemicals - aids in making biofuels cost-competitive by establishing new and diverse streams of revenue outside of fuel production.

To utilize all valuable components within the biofuel production process, ABP has developed its patented CTS dry mechanical process, which extracts cellulose from organic waste materials without the use of enzymes, liquid acids applied heat, pressure, or sulphur. The resulting lignin byproduct is then collected using ABP's patented lignin recovery system, which allows for recovery of all available lignin in its pure form - and the purest form available to market.

"One of the most consistent challenges within the biofuel market has been creating a solution that is affordable, both for the producer and for the consumer," says Daniel de Liege, Chairman of Alliance Bio-Products. "There is a tremendous value-add in being able to leverage lignin - which is often a wasted byproduct in other cellulosic ethanol production processes due to there harsh production parameters. Our CTS process ensures maximum collection of pure lignin, which allows us to explore an additional revenue stream for our Company thus bringing our per gallon cost of cellulosic ethanol down from $0.91 to around $0.75." This represents a profit margin of $3.52 per gallon of cellulosic ethanol at today's market price plus D3 RIN or $28,160,000 EBITDA in the first year of operations for ABP's proposed Florida plant.

To continue to commercialization of its CTS technology for the production of cellulosic ethanol and its lignin byproduct, the Company announced a funding opportunity through a 506(c) filing to raise $10 million for the purchase of a biofuel facility in Florida. For more information on that opportunity, please visit the offering page.

Alliance Bio-Products, Inc. was formed as a special purpose wholly-owned subsidiary of Alliance BioEnergy Plus, Inc. ("ALLM") to own and operate Bioethanol plants in the United States.

Utilizing ALLM's patented CTS process Alliance intends to retrofit existing ethanol plants with the mechnocatalytic cellulosic conversion process, transforming them into profitable renewable energy centers that are carbon neutral, waste free and protecting our delicate environment while providing energy and high value co-products. The CTS process enjoys a family of patents centered around the main U.S. patent # 8,062,428.2032. READ MORE