Enchi Corporation SBIR Phase II Award, August 2021

Project SummarySBIR Phase II application to the USDA by Enchi Corporation May 2021Title: Development of C-CBP to enable cash-positive conversion of corn stover to biofuels co- located at a corn ethanol millProject Director: Dr. Christopher D. HerringEnchi Corporation proposes a Phase II SBIR project aimed at an innovative approach for low- cost processing of lignocellulose to fuels and chemicals based on engineered thermophilicbacteria combined with milling during fermentation (cotreatment).This approach termed C- CBP avoids the two process steps responsible for the high cost of current technology:thermochemical pretreatment and added enzymes. We target the opportunity for C-CBP with theshortest path to commercialization: corn stover to ethanol. Phase I efforts nearly doubled ethanoltiters from corn stover successfully demonstrated simultaneous conversion of C6 and C5 sugarsand showed that components of the C-CBP approach can be functionally integrated.Peer-reviewed technoeconomic analysis carried out in collaboration with the NationalRenewable Energy Laboratory (NREL) has shown that an advanced cellulosic ethanol plantemploying C-CBP has an 8-fold shorter payback period and economic feasibility at 10-foldsmaller scale than conventional scenarios. Given the cost savings and scale-insensitivity of C- CBP we hypothesize that it is possible to build a demonstration facility for which revenuesexceed operating expenses co-located at an existing corn ethanol plant. Toward this endobjectives of the Phase II proposal are:1. Improve the technical performance of ethanol production from corn stover via C-CBPthrough a combination of bioprocess and strain improvement;2. Develop a low-cost growth medium for C-CBP making use of streams available within acorn ethanol mill;3. Develop a detailed design for a demonstration plant co-located at a POET corn ethanol millthat will cost less than $5 million to build and have revenues that exceed operating expenses.4. Demonstrate key features of C-CBP at 60 gallon scale at POET's Research Center inScotland South Dakota.5. Perform a technoeconomic and market analysis of catalytic conversion of ethanol tohydrocarbon blendstocks co-located at a corn ethanol plant.POET LLC will provide materials needed for work on objectives 1 and 2 and will participate inactivities pursuant to the remaining objectives. Vertimass LLC will work with Enchi and POETon objective 5. An experienced industry consultant and IP firm will provide Technical andBusiness Assistance.The anticipated results of this project include the development of a small business andcommercialization of a highly innovative technology. This Phase II project represents a criticalstep toward enabling low-cost conversion of corn-stover to ethanol and would lead to increasedrevenue and job creation for both corn farmers and fuel producers. Commercialization of C-CBPwill be an important step toward realizing the long-anticipated benefits of expanded use ofcellulosic feedstocks with respect to rural economic development and climate stabilization.