Fuels-From-the-Forest Innovator Chemrec Opens U.S. Office Headquartered in Deerfield, Illinois

DEERFIELD, IL — (Marketwire) — 03/12/09 — Chemrec AB, a Sweden-based biofuelsinnovation company, has opened a U.S. subsidiary, Chemrec USA, Inc.,headquartered in Deerfield, Illinois, north of Chicago. Chemrec USA willdevelop Chemrec patented fuels-from-the-forest biorefineries in NorthAmerica.

Chemrec USA biorefineries transform a pulp and paper milling waste productcalled black liquor into ultra-clean alternative motor fuels methanol anddimethyl ether or DME. Because the farmed forestry used by the mills is arenewable resource, the DME fuel produced through the Chemrecfuels-from-the-forest process is carbon neutral.

DME, often used as an aerosol propellant, when used as motor fuel offerssuperior alternatives — little to no climate impact, greater energyefficiency, greater land use efficiency, easy vehicle adaptation andcompetitive fuel costs — to other biofuels like ethanol, methanol,biodiesel, and synthetic diesel or their combinations. When used inslightly modified diesel engines, DME offers smokeless combustion and farlower emissions than standard automotive fuels. Major diesel and truckengine manufacturers have plans for using DME in vehicles, especially formunicipal and corporate fleets.

Aside from its ability to replace a significant portion of petroleum-basedfuels and its neutral impact on the environment, DME forest-based fuelsproduced through a Chemrec biorefinery enable paper mills to generate ahigh-margin revenue stream from their production of black liquor wastes.

Chemrec currently operates DME fuels-from-the-forest biorefineries inSweden and Michigan.

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