Canada-based Lignol Innovations has signed a deal to supply a European thermoplastics maker with purified lignin, a byproduct of cellulosic ethanol production. "When producing next-generation biofuels from renewable, nonfood feedstocks like wood chips, roughly 25% of the output is lignin," said Ross MacLachlan, president and CEO of Lignol Energy. The lignin can be sold for its calorific value or as a replacement for petroleum-based products, he said.

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