SOURCE: BlueFire Ethanol

January 03, 2007 08:55 ET

BlueFire Ethanol Responds to U.S. DOE's Invitation to Submit a Pre-Application for a Loan Guarantee

IRVINE, CA -- (MARKET WIRE) -- January 3, 2007 -- On December 29th, 2006, BlueFire Ethanol, Inc. (PINKSHEETS: BFRE) submitted a response to the U.S. Department of Energy's invitation for pre-application for Loan Guarantees for Innovative Technologies Under Title XVII of the Energy Policy Act of 2005.

Under this submittal, BlueFire proposed the construction of a biorefinery adjacent to existing biomass power plants to take advantage of cost savings using existing infrastructure. One such site included the Colmac facility in Riverside County.

In August of 2006, U.S. Department of Energy's (DOE) Secretary, Samuel W. Bodman unveiled the DOE program guidelines for a total of $2 billion in loan guarantees to help spur investment in projects that employ new energy technologies. "With these loan guarantees we hope to encourage creativity and ingenuity that will help us strengthen our nation's energy security," Secretary Bodman said.

According to the DOE, loan guarantees will enable the Department to share some of the financial risks of projects that employ emerging or significantly improved energy technologies that avoid, reduce, or sequester air pollutants and greenhouse gases. Projects supported by loan guarantees will help fulfill President Bush's goals to diversifying the United States' energy sources, while reducing the nation's reliance on foreign sources of energy and encourage energy efficiency. The loan guarantee program was authorized in Title XVII of the Energy Policy Act of 2005 (EPAct) that President Bush signed into law on August 8, 2005.

This co-location strategy provides competitive advantage in the marketplace for BlueFire's production facilities. "Locating ethanol production facilities adjacent to biomass power plants allows for more efficient, clean and reliable approach to generating power and thermal energy from on-site facilities. Heat that is otherwise discarded from conventional power generation could be used to produce the thermal energy for the ethanol plant," said CEO Arnold Klann.

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About us:

BlueFire Ethanol, Inc. is established to deploy the commercially ready, patented, and proven Arkenol Technology Process for the profitable conversion of cellulosic ("Green Waste") waste materials to ethanol, a viable alternative to gasoline. BlueFire's use of the Arkenol Process Technology positions it as the only cellulose-to-ethanol company worldwide with demonstrated production of ethanol from urban trash (post-sorted MSW), rice and wheat straws, wood waste and other agricultural residues. Our goal is to develop and operate high-value carbohydrate-based transportation fuel production facilities worldwide. These "biorefineries" will convert widely available, inexpensive, organic materials such as agricultural residues, high-content biomass crops, wood residues, and cellulose from MSW into ethanol. BlueFire intends to build a multinational company that leads the world in producing biobased transportation fuels. Its business will encompass development activities leading to the construction and long-term operation of production facilities while maintaining technological advantage and ownership of the process technology and all its improvements. Ethanol will be produced from biorefinery facilities opportunistically constructed on or near landfills, waste collection and waste separation sites. Each facility will deploy the proprietary technology, which uses all cellulosic waste materials traditionally disposed of in landfills as feedstock.


Statements about BlueFire Ethanol, Inc.'s expectations, including future revenues and earnings, and all other statements in this press release other than historical facts are "forward-looking statements" within the meaning of section 27A of the Securities Act of 1933, Section 21E of the Securities Exchange Act of 1934, and as the term is defined in the Private Litigation Reform Act of 1995. BlueFire's actual results could differ materially from expected results. BlueFire undertakes no obligation to update forward-looking statements to reflect subsequently occurring events or circumstances. Should events occur which materially affect any comments made within this press release; BlueFire will appropriately inform the public.

Contact Information

  • Investment Banker:
    Tom Rubin
    Westcap Securities, Inc.
    18201 Von Karman Ave. Suite 550
    Irvine, CA 92612

    Investor Relations Contact:
    Gerald Kieft or Ryan Audin
    Wall Street Resources, Inc.
    2646 SW Mapp Road, Suite 303
    Palm City, Florida 34990