Caskata and Alter NRG Develop Unique Ethanol from Waste Facility

Date: April 25, 2008

Source: Alter NRG Corp.

Alter NRG to Support Coskata Inc.'s Commercial Demonstration Facility for Ethanol Production in Madison, Pennsylvania.

  • Co-located at Westinghouse Plasma Corp facility, the plant will utilize Alter NRG gasifier in production of 40,000 gallons of cellulosic ethanol per year

Alter NRG Corp. (Alter NRG or the Company), the owner of Westinghouse Plasma Corp. (WPC), is pleased to announce that the existing WPC plasma gasification pilot facility has been chosen as the site for a cellulosic ethanol commercial demonstration project using Coskata Inc.'s (Coskata) proprietary synthesis gas (syngas) to ethanol conversion technology.

Coskata, a developer of next generation biofuels, is expected to begin construction in Q3 of 2008 on a 40,000 gallon-per-year cellulosic ethanol plant located at the WPC gasification facility in Madison, Pennsylvania. The commercial demonstration facility costs, which are expected to be $25 million, will be borne by Coskata. Alter NRG will convert biomass and waste material in its existing gasification reactor to provide syngas, a key component of Coskata's ethanol conversion process. This commercial demonstration will increase the utilization rate of the WPC gasification facility and is anticipated to provide approximately $2.5 million in revenue to the Company during 2009.

On January 13, 2008 General Motors and Coskata announced a partnership which, they believe, "affordably and efficiently makes ethanol from practically any renewable source, including garbage, old tires and plant waste. According to Argonne National Laboratory, which analyzed Coskata's process, for every unit of energy used, it generated up to 7.7 times the amount of energy, and it reduces CO2 emissions by up to 84 percent compared with a well-to-wheel analysis of gasoline."

The Chairman and CEO of General Motors Rick Wagoner said in the January 13, 2008 release "We are very excited about what this breakthrough will mean to the viability of biofuels and, more importantly, to our ability to reduce dependence on petroleum."

The plant is expected to deliver ethanol in early 2009, and Coskata partner General Motors will use the next generation ethanol, produced at the demonstration facility, at their Milford Proving Grounds to run in their E85 capable fleet of vehicles.

"Our partnership with Alter NRG will allow us to showcase the commercial viability of our process in less than a year," said Bill Roe, president and CEO of Coskata. "Working with their experts in plasma gasification technology and with the use of the company's existing gasifier, we will demonstrate that Coskata's process technology is able to produce ethanol from non-food based sources for under $1 per gallon."

Coskata leverages proprietary microorganisms and efficient bioreactor designs in a unique three-step conversion process that can turn virtually any carbon-based feedstock into ethanol. Coskata's biological fermentation technology is ethanol-specific and enzyme independent, contributing to high energy conversion rates and ethanol yields. Additionally, the process requires no additional chemicals or pre-treatments, serving to streamline operational costs.

"We are pleased to collaborate with Coskata on their commercial demonstration plant" said Mark Montemurro, President and Chief Executive Officer of Alter NRG. "We view Coskata's efficient process as a perfect complement to our environmentally responsible gasification technology. Producing energy with renewable feedstocks is increasingly crucial and Coskata is prepared to make next generation ethanol a reality."

About Alter NRG

Alter NRG is pursuing alternative energy solutions to meet the growing demand for environmentally responsible energy in world markets. The company's vision is to become a senior energy producer and a leader in the development of environmentally sustainable and economically viable gasification projects. The Company's objective for the next decade is to utilize its commercially proven plasma gasification technology to produce hydrogen, syngas, and transportation fuels (diesel, naphtha, ethanol, etc.), steam and electricity, all of which are fundamental products for the world's growing energy needs. For more information, visit

About Coskata

Coskata is a biology-based renewable energy company that is commercializing technology to produce biofuels from a wide variety of feedstocks. Using proprietary microorganisms and transformative bioreactor designs, the company will produce ethanol for under $1 per gallon almost anywhere in the world, from a wide variety of feedstocks. Coskata has compiled a strong IP portfolio of patents, trade secrets and know-how and assembled a first-class team for the development and commercialization of its compelling syngas-to-ethanol process technology. For more information, please visit

About Westinghouse Plasma Corporation, a division of Alter NRG

Relying on more than 30 years of experience in the application of plasma technology, Westinghouse Plasma Corporation (WPC) is focused on using innovative plasma applications for environmentally responsible energy production, waste processing and metallurgical and chemical processing solutions. Our experience, including over 24 patents relating to the plasma torch, plasma torch systems and process design, allows us to meet the needs of both research and development, and for industrial applications in various markets. Westinghouse Plasma Corporation is a wholly owned subsidiary of Alter NRG, a publicly traded company on the TSX Venture Exchange. For more information, please visit

For more information, contact:
Mark Montemurro, President and Chief Executive Officer - Alter NRG (403) 806-3877
Daniel Hay, Chief Financial Officer - Alter NRG (403) 806-3881
Matthew Hargarten Dig Communications for Coskata, Inc. 312.377.4136

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