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A pilot ethanol plant in the Black Hills of Wyoming that's been producing the fuel from logging slash will soon start using a different raw product...sugarcane waste.
Rapid City-based KL Energy and Brazil's state-run oil company, Petrobras, have signed an agreement that will have Petrobras invest $11-million dollars to convert KL's plant in Upton to produce cellulosic ethanol from the waste created when sugarcane is processed into sugar.
The two companies will also work together on using the process developed at the Wyoming plant at a Petrobras sugar mill in Brazil.
Because sugarcan doesn't grow in Wyoming and importing the waste from Brazil isn't economical, KL Energy will use sugarcane waste from Louisiana at the Upton plant.
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