WEST PALM BEACH, FL / ACCESSWIRE / April 5, 2018 / Alliance BioEnergy Plus, Inc. (OTCQB: ALLM), today announced that it has signed a sublicense agreement with Phoenix Biomaterials Thomaston, LLC ("Phoenix") for the use of their licensed and patented CTS process, in a plant Phoenix intends to build in Thomaston, Georgia.
Phoenix paid a substantial deposit, against the first sublicense fee payment, to grant them 60 days in order to finalize offtake agreements and site acquisition that is required under their overall funding terms. The initial sublicense fee payment of $1,250,000 is due May 25, 2018 with subsequent payments due throughout the construction and site development process.
Phoenix intends to build a new plant that will be processing up to 1,000 tons a day of chipped pine and paper waste into an industrial sugar syrup that will be sold and used to produce biodegradable plastics, biofuels and fine chemicals. Phoenix intends to break ground in the summer of 2018 with completion by early 2020 and has contracted with Ford, Bacon & Davis to oversee the engineering and construction of the facility. Once complete the Phoenix plant represents approximately $5.5 million a year in royalty income for the Company.
CTS Process Advancing, Now Continuous and Significantly More Efficient
In what can only be described as a breakthrough to a breakthrough the CTS process has gone through a complete overhaul in its design, production parameters and capabilities over the last several months. What was once a batch process using multiple repurposed ball mills, that needed to be sequentially loaded and unloaded while converting up to 70% of the cellulose in fifteen minutes, is now a stand-alone reactor that continually processes hundreds of tons an hour, without having to stop and reload batches. CTS 2.0 no longer relies on ball bearing impacts or large rotating vessels to achieve a nearly 100% conversion, almost INSTANTLY in what is now a continuous run that is no larger than a small truck and capable of processing thousands of tons a day of biomass. This means that for the first time in history virtually any cellulose material can be converted into its fermentable, soluble components almost instantly with very little energy consumption and no hazardous or waste byproducts. The new CTS 2.0 reactors will be able to produce fermentable sugars and solubles for approximately $0.02 a pound, which translates into a total production cost for a gallon of 2nd generation cellulosic ethanol at less than $0.80. That is a game changer in the biofuels industry. The Company has filed its sixteenth patent application on the design and process of the new reactors bringing the total to 4 issued patents and 16 filed and pending patents surrounding the CTS family of technologies.
About Alliance Bio-Products, Inc.
Alliance BioEnergy +, Inc. ("ALLM") is a publicly traded company focusing on the commercialization and licensing of a patented cellulose conversion technology that it controls through a master license agreement with the University of Central Florida, via its affiliate Carbolosic, LLC. Carbolosic holds the exclusive, worldwide license to four (4) issued patents and sixteen (16) filed and pending patents revolving around the core CTS (cellulose to sugar) technology. ALLM also holds the exclusive CTS rights to North America (Canada, US, and Mexico) and Africa.
The CTS process is the only known patented, dry mechanical process that can convert virtually any cellulose material into sugars and other products in a matter of minutes with no liquid acids, no applied heat, pressure or hazardous materials of any kind. The CTS process when used in the production of Ethanol is clean, less expensive to build and operate than traditional ethanol plants or other cellulose ethanol technologies and is completely environmentally friendly.
Information in this document constitute forward-looking statements or statements which may be deemed or construed to be forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. The risks, uncertainties and other factors are more fully discussed in the Company's filings with the U.S. Securities and Exchange Commission. All forward-looking statements attributable to Alliance BioEnergy Plus, Inc herein are expressly qualified in their entirety by the above-mentioned cautionary statement. Alliance BioEnergy Plus, Inc. disclaims any obligation to update forward-looking statements contained in this estimate, except as may be required by law.
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SOURCE: Alliance Bio-Products, Inc.