CHICAGO, ILLINOIS, US — ADM has reached an agreement to supply biochemical startup Solugen Inc. with dextrose to make plant-based organic acids for use in a wide variety of consumer and industrial products at a plant to be built in Marshall, Minnesota, US.
Under terms of the agreement, Solugen will build a new 500,000-square-foot biomanufacturing facility adjacent to ADM’s existing corn processing complex in Marshall. The facility will utilize ADM-provided dextrose to scale its current line of lower-carbon organic acids and develop new, innovative molecules to replace existing fossil fuel-based materials.
The companies also plan to collaborate on commercialization opportunities of these biomaterials for a range of applications including energy, water treatment, agriculture, construction materials, cleaning, personal care and more.
“Sustainability is one of the enduring global trends powering ADM’s growth and underpinning the strategic evolution of our Carbohydrate Solutions business,” said Chris Cuddy, president of Carbohydrate Solutions at ADM. “ADM is one of the largest dextrose producers in the world, and this strategic partnership will allow us to further diversify our product stream as we continue to support plant-based solutions spanning sustainable packaging, pharma, plant health, construction, fermentation, and home and personal care.”
With a robust and cost-competitive supply of corn, alongside advanced corn-to-dextrose conversion technology, Houston, Texas, US-based Solugen said Marshall is the ideal location to support the scale of the company’s products.
Solugen plans to begin offsite construction this year and onsite construction in early 2024. The initial phase, which is scheduled to start up in the first half of 2025, is expected to create at least 40 permanent jobs and another 100 temporary construction jobs during commissioning.
Leveraging a first-of-its-kind combination of computationally engineered enzymes and metal catalysts, Solugen’s Bioforge converts plant-derived substances into essential materials that have traditionally been made from fossil fuels. The high efficiency and scalability of Solugen’s process can offer a significant reduction in carbon footprint compared with conventional ingredients.
“The strategic partnership with ADM will allow Solugen to bring our chemienzymatic process to a commercial scale and meet existing customer demand for our high-performance, cost-competitive, sustainable products,” said Gaurab Chakrabarti, co-founder and chief executive officer of Solugen. “As one of the few scaled-up and de-risked biomanufacturing assets in the country, Solugen’s Bioforge platform is helping bolster domestic capabilities and supply chains that are critical in ensuring the US reaches its ambitious climate targets.”